Venezuela to Make a Bond Payment but Long-Term Doubts Persist

Venezuelan officials said late Thursday they will make a $2.1 billion bond payment due next week, fending off fears of default for the moment. Nevertheless, many investors think the country still looks vulnerable to default by year's end, an outcome that could inflict more pain on the country's struggling people. Venezuela's government and its state-owned energy company owe approximately $8 billion in debt still due this year. Next year, another $7.9 billion of debt comes due. With the country's foreign reserves dwindling and its options for raising cash narrowing, investors are becoming more skeptical that Venezuela will be able to service its debt much longer. More…