While Venezuela is going through a political and economic crisis, its president Nicolas Maduro extended Friday, May 13th three-month state of “economic emergency” in place since mid-January. “I’m going to sign (…) a new decree (…) for the months of May, June, July and which will be extended during 2016 constitutionally and certainly during the year 2017, in order to recover the country’s production capacity “, Maduro said on television.
This extension is subject to the approval of the parliament, dominated by the opposition since the parliamentary elections in December.
in January, the national Assembly rejected the state of “economic emergency” original, signing the first strong act of the opposition before the Supreme court of justice, the highest judicial authority in the country, deemed close to President Maduro valid.
Towards new expropriations?
the “economic emergency” authorizes the executive to have the private sector assets to secure supplies of commodities, which, according to the opposition, paving the way for new expropriations.
the countries of South America, once rich with oil producer its reserves, the largest in the world is plunged into a serious crisis with the fall in prices of crude oil, which provides 96% of its foreign exchange.
Venezuela has suffered in 2015 an inflation rate of 180.9% , one of the highest in the world, and a decline of 5.7% GDP for the second year in a row.