Americans will pay the price because Venezuela’s government has allowed the nation to wallow in chaos, one expert has warned.
The South American nation, whose President Nicholas Maduro was re-elected last week in what many regarded as a sham election, has been suffering rampant inflation as well as civic unrest.
Its oil industry is now also collapsing, said Bob Parker, investment committee member at Quilvest Wealth Management, according to CNBC.
He called a major slowdown in Venezuela’s production “entirely possible.”
The economic backdrop to Maduro’s “win” in #Venezuela elections:
– GDP set for >15% contraction in 2018, 5th straight year of shrinkage
– GDP unlikely to return to growth b4 2021
– >10,000% inflation
– collapsed oil production
– shattered health system
– consumer goods shortage— Robert Ward (@RobertAlanWard) May 21, 2018
As a result, he said, even though nations such as Russia and Saudi Arabia are pushing for oil prices at $70 to $80 a barrel, prices could hit $100 a barrel if, as is likely, Venezuela suffers a “complete collapse” in production.
As it is, the nation has suffered a 40 percent drop in oil production since 2015. – READ MORE
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