Christian Science Monitor
Data Driven Journalism (EJC)
Economist Intelligence Unit
La Prensa (Panama)
National (Abu Dhabi)
New York Times
Radio France Internationale
Times of London
Contact (PGP Key)
Venezuela's monthly inflation rises to 34 percent: National Assembly|
Sept. 7, 2017 — Caracas, Venezuela
Venezuela’s monthly inflation rate jumped to 33.8 percent in August, with food price rises reaching hyper-inflationary levels above 50 percent, the opposition-controlled National Assembly said on Thursday.
The government stopped releasing the data more than a year ago amid a deep economic crisis, but the National Assembly has published its own figures since January. They are generally in line with private economists’ estimates.
The latest month-on-month inflation figure was a jump from the 26 percent rise in prices reported in July.
In the first eight months of 2017, prices rose a cumulative 366.4 percent, according to the legislative body.
“Food is now in hyperinflation,” said opposition lawmaker Angel Alvarado, adding that the food sector had seen price rises of 51 percent in August.
Economists usually define hyperinflation as occurring when monthly rates exceed 50 percent.
Millions of Venezuelans are suffering from food and medicine shortages as the oil producer struggles with an economic crisis that spurred months of nationwide unrest earlier this year.
However, the protests have died down in recent weeks, with many in the opposition viewing them as fruitless after socialist President Nicolas Maduro’s government sidelined the National Assembly and created its own legislative superbody.
The country’s bolivar currency also weakened past 20,000 per dollar on the widely-used black market on Thursday for the first time. It has lost 95 percent of its value against the U.S. currency in the past year.
The value of $1,000 in local currency purchased when Maduro came to power in April 2013 would now be worth $1.20.
Maduro blames the crisis on the country’s opposition and the United States, whom he says are waging an “economic war” against his government.
Critics blame Maduro’s economic policies including a currency policy that pegs the bolivar at 10 per dollar at the strongest rate and the strict price controls which they say disincentivize production.
Opponents also point to a rapidly rising money supply. The country’s M2 figure is up 431 percent in the last year alone.
The exponential rise in M2 - the sum of cash, together with checking, savings, and other deposits - means an exponential rise in the amount of currency circulating.
Coupled with a decline in the output of goods and services, that has accelerated inflation.
Advisers urge deep discount in Venezuelan cryptocurrency offering
Jan. 16, 2018
Dec. 12, 2017
Venezuela money supply up 14 percent in one week, fastest rise on record
Dec. 1, 2017
How a defrocked judge became the chief enforcer for Maduro's Venezuela
Nov. 15, 2017
De cómo un juez destituido se convirtió en el principal artífice judicial del presidente de Venezuela
Nov. 15, 2017
The 'Venezuela Econ' app: Harnessing data to understand a spectacular economic meltdown
Nov. 6, 2017
Venezuela's monthly inflation rises to 34 percent: National Assembly
Sept. 7, 2017
Ousted Venezuelan prosecutor says she fears for her life, will keep fighting
Aug. 10, 2017
Venezuela quells attack on military base, two killed
Aug. 6, 2017
Exclusive: Venezuelan vote data casts doubt on turnout at Sunday poll
Aug. 2, 2017
All eyes on Venezuela military after protests, vote
Aug. 1, 2017
U.S. 'sweetheart' of Venezuela sees worrying signs of authoritarianism
Jul. 29, 2017
Venezuela money supply surges 10 percent in one week, fastest in 25 years
Jul. 29, 2017
Exclusive: At least 123 Venezuelan soldiers detained since protests - documents
Jul. 6, 2017
Venezuela hikes minimum wage 50 percent, effectively down 17 percent
Jul. 2, 2017