The recent economic crisis overtaking Venezuela has resulted in the sell off of 1.7 billion dollars worth of its gold reserves according to a Dateas report.
This move comes as persistent conditions of food shortages, economic collapse, and political conflict continue to plague the nation. As the value of Venezuela’s gold reserves recently plummeted to an all time low, the nation sold its gold reserves to better accommodate repayment of the nation’s increasing debt.
Last week Venezuela’s gold reserves dropped to only 12.1 billion.
There is an evident big problem with cash flow for Venezuela says expert Norka Luque as selling their gold reserves is a desperate attempt at reconciliation for the economy in some respect.
The rate of inflation in Venezuela is predicted to rise over 1000 percent in the next coming years and its economic forecast looks more than grim.
We can only hope that something happens soon and that the money generated through the sell of their gold reserves helps Venezuela to overcome the hurdles of the crisis that is causing the nation so much strife.