S & P lowers rating of Venezuela, weighed down by oil prices – Romandie.com

S & amp; P lowers rating of Venezuela, weighed down by oil prices

Washington – Standard & Poor’s further lowered Monday note of the Venezuelan debt, citing falling prices World oil which reduced revenues and worsening social and political crisis.

downgraded by one notch to CCC, Venezuela’s credit rating thus approaching the offending country of payment category, falls S & amp; P, which does not exclude a new medium-term lowering

S & amp;. P said that oil prices have fallen about 60% since June 2014 and it considered during the last review of the Venezuelan note that the price of Brent crude would be around $ 105 in 2015 while only slightly more than $ 58 now.

This forecast has now been revised down to 55 dollars in 2015 and $ 70 between 2015 and 2018. This fall will not remain without consequences for the health of the Venezuelan economy, 15% of gross domestic product, 50% of tax revenues and 90% of exports are carried by oil.

The deterioration of the political and social situation plays against him and if, so far, the gouvernenement happened to avoid defaulting on its debt, the measures taken have resulted in shortages for consumer goods and intermediate says S & amp; P

We believe that the pressure on the government to reschedule part of its debts or to undertake asset management operations to refinance part of. debt maturing in a year or two, says is it the same source.

Except improvement in terms of trade or other positive development for Venezuela, we believe that there is at least an even chance that we lowered the rating to + SD + (partial default ed.) this year or next, warns Standard and Poor’s.

(© AFP / February 9, 2015 10:19 p.m.)

(AFP / 09.02.2015 10:22 p.m.) ^ ->
 

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