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Venezuela battling a tough economic storm

  • Written by News Jamaica
  • Published in World News
CARACAS, January 9, 2015 - Venezuela is battling a tough economic storm, sending President Nicolas Maduro to  the middle east to speak with OPEC and to China to raise additional finances.

However, despite President Maduro’s securing of over US$20 billion in Chinese investments to shure up the economy, some  Venezuelans and analysts are worried that things will only get worse.

Venezuela gets most of its foreign currency from oil exports and is estimated to have the largest oil reserves in the world.

President Maduro recently created a strategic reserve, appointed a new board to run the organisation that manages currency exchange controls, and created new agencies to manage the distribution of commodities.

President Maduro has said his country is suffering the consequences of an economic war launched by US President Barack Obama against Venezuela as well as  "to destroy" the oil producers' cartel, OPEC.

He has also accused the US of flooding the markets with oil as part of an economic war against Russia.

The Venezuelan opposition blames the country's economic crisis and shortages of many staples, such as corn oil and milk, on the socialist policies of Mr Maduro and his late predecessor, Hugo Chavez.

Last modified onFriday, 09 January 2015 06:24