The measures further limit the Venezuelan government’s strategies to get the money it needs to pay foreign debt, so it will again restrict imports of goods, affecting a population overwhelmed by years of scarcity.
Venezuela’s political crisis has begun to destabilise neighbouring countries and could have an impact on economic growth and investment in Brazil and Colombia.
Last October, Goldman Sachs bought Venezuelan debt and the storm was unleashed. The reputational storm. The debate on whether a high profitability is sufficient to justify the purchase of an asset, even if this implies a negative change in the perception of the firm and an ethical dilemma.
One intrepid PE firm sees value where many others see danger. VenAlternatives is devoted to private capital deals in Venezuela, an investment thesis that, these days, takes some serious bolivars.
Sky-high inflation, a spiralling economy and a bleak foreign exchange environment in which the black market is thriving are presenting Venezuela’s banks with one of the toughest tasks in global financial circles just to stay in business.