Less Dollars, No Transparency in Venezuela

There is no doubt the bolivar is overvalued and everybody understands that the first step to take in order to stabilize the Venezuelan economy and the Balance of Payments has to be a mega-devaluation of the currency. Many people guessed proper announcements were going to be made during the holiday season. Wrong guess! The Government was still undecided on the issue as it kept all the nation’s economic sectors and the population on tenterhooks. Between the final weeks of 2013 and the first four of 2014, the National Executive made only a few vague announcements, none of which go either in the right direction or to the heart of the problem. More...