BREAKING NEWS Hiding Fire burning south of Cloverdale is 30 acres Full Story
BREAKING NEWS Dixie Fire: Number of structures threatened downgraded from more than 10,000 to 3,163 Full Story

Half the Venezuelan economy has disappeared

Venezuela has lost half of its economy since 2013.It's getting worse. Unemployment will reach 30% and prices o...

Posted: Jan 25, 2018 12:55 PM
Updated: Jan 25, 2018 12:55 PM

Venezuela has lost half of its economy since 2013.

It's getting worse. Unemployment will reach 30% and prices on all types of goods in the country will rise 13,000% this year, according to new figures published Thursday by the International Monetary Fund.

The IMF's economist for the Western Hemisphere, Alejandro Werner, put Venezuela's future bluntly.

"In Venezuela, the crisis continues," Werner said in a blog post. He added that inflation is skyrocketing this year because of "the loss of confidence in the nation's currency."

This year will mark the third consecutive year of double-digit contractions in Venezuela's gross domestic product, the broadest measure of economic activity. The nation's GDP declined 16% in 2016, 14% last year and it's projected to fall 15% this year, according to the IMF.

Related: EU heaps sanctions on Venezuela as isolation grows

Venezuela is deep into an economic, political and humanitarian crisis, largely inflicted by the government's own policies, economists say. Food and medical shortages are widespread. People are scavenging for food in dumpsters. Citizens are fleeing by the thousands. The currency, the bolivar, is nearly worthless. The government has defaulted on its debt. World leaders are calling President Nicolas Maduro a dictator.

The political turmoil is not expected to get better. Maduro's administration said this week it will hold presidential elections this spring. Maduro has already excluded opposition leaders from participating in the election. It's unclear if anyone is actually allowed to run against him. Meanwhile, the economy shows no signs of recovery.

Chico
Clear
77° wxIcon
Hi: 103° Lo: 69°
Feels Like: 78°
Oroville
Partly Cloudy
73° wxIcon
Hi: 101° Lo: 73°
Feels Like: 73°
Paradise
Clear
77° wxIcon
Hi: 95° Lo: 73°
Feels Like: 78°
Chester
Partly Cloudy
78° wxIcon
Hi: 84° Lo: 51°
Feels Like: 79°
Red Bluff
Clear
78° wxIcon
Hi: 101° Lo: 68°
Feels Like: 79°
Willows
Clear
77° wxIcon
Hi: 103° Lo: 66°
Feels Like: 78°
August began seasonably hot on this Sunday with fewer showers and thunderstorms than previous days, but a few did still pop over the higher terrain. Our rain chances are disappearing, but the heat and smoke will remain.
KHSL Severe
KHSL Radar
KHSL Temperatures

Community Events