Venezuela’s president goes abroad to seek funds for troubled economy

Global Business

Venezuelan President Nicolas Maduro returned Monday from a two-week fundraising tour abroad. He was seeking new loans and cooperation from other oil producing states in propping up oil prices. CCTV America’s Martin Markovits reported the story from Caracas.

Venezuela's president goes abroad to seek funds for troubled economy

Venezuela's president goes abroad to seek funds for troubled economy

Venezuelan President Nicolas Maduro returned Monday from a two-week fundraising tour abroad. He was seeking new loans and cooperation from other oil producing states in propping up oil prices. CCTV America's Martin Markovits reported the story from Caracas.

The banners welcoming President Maduro home showed him shaking hands with world leaders. The banners said: “Successful Tour,” just as Maduro described it.

“I can say it was very productive, very successful trip for the rebirth of our economy,” he said.

Maduro went to China and Russia seeking new loans. He also went to fellow OPEC countries asking for production cuts to halt the slide in oil prices. Maduro has not provided any details so far on the deals, and OPEC said it will not cut production.

While he was away, state-run supermarkets began a rationing system to handle the long lines of people seeking scarce household goods. However, the government insisted that the trip will be a boon for Venezuela’s troubled economy.

“By virtue of this tour, the president took advantage to review conventions that will strengthen the national economy as well as geopolitical relations,” government official William Contreras said.

While some have been quick to call the diplomatic tour a success, some economists said painful economic adjustments still await the president if he hopes to steer Venezuela out of recession.

“The president is in a difficult position as he needs to make some hard, unpopular measures,” economist Oscar Quiroz said. “We have to see if the government has the mettle to make the necessary adjustments, which will certainly have their political cost.”

Maduro said he will make important economic announcements on Tuesday in his State of the Union address.