Uncertainty for Venezuelans after dollar price hike
(26 Aug 2022) RESTRICTION SUMMARY: ASSOCIATED PRESS Caracas - 25 August 2022 1. Various of people buying food in the street 2. BCV (Central Bank of Venezuela) banner showing the official price of the dollar 3. People walking in the street 4. Various exteriors of the Central Bank of Venezuela 5. Asdrubal Oliveros, economist and director of the local analysis firm Ecoanalítica 6. SOUNDBITE (Spanish) Asdrubal Oliveros, economist and director of the economy analysis firm Ecoanalítica: "The government obviously spends in bolivars and throughout the week it places bolivars in the system while spending for its requirements. Last week the placement of bolivars was much higher than in previous weeks. But in addition, it was not the sole effect of more bolivars in the system, but also a minimum sale of foreign currency, regularly made by the central bank, which offers dollars to the market. It's the coincidence of a major supply of bolivars with a minimum and even non-existent supply of dollars, the balance is obviously a disaster." 7. Various of a food market 8. SOUNDBITE (Spanish) Angie Graterol, Chacao market trader: "Well, every day we wake up thinking about the dollar. More than thinking about what we are going to do, how we are going to get ahead, we first think about the dollar. It seems to me that it is something that is getting out of control every day, because we as merchants are affected, consumers are affected. It should be stopped." 9. Various of people shopping in stores 10. People walking between stores STORYLINE: Venezuelans are stockpiling food among other provisions as uncertainty looms after an abrupt rise in the price of the dollar. Dollars are precious currency in Venezuela, where the government establishes a set amount for its value, but the black market offers more value per dollar. During the past week, the official exchange rate climbed from 6.67 to 9.08 bolivars per dollar, while the black market exchange rate climbed from 5.97 to 7.01 bolivars per dollar. Both exchange rates existing at the same time create distortions on prices and are often a main factor in determining inflation. Analysts have said the hike this time could be the result of an insufficient supply of dollars by the Venezuelan Central Bank into the economy. Angie Graterol, a merchant, said she believed the dollar value, something that deeply affects her and clients, is "out of control." But this time, two factors make up problem, according to Asdrúbal Oliveros, economist and director at analysis firm Econoanalítica. "It's the coincidence of a major supply of bolivars with a minimum and even non-existent supply of dollars, the balance is obviously a disaster,' Oliveros said. =========================================================== Clients are reminded: (i) to check the terms of their licence agreements for use of content outside news programming and that further advice and assistance can be obtained from the AP Archive on: Tel +44 (0) 20 7482 7482 Email: [email protected] (ii) they should check with the applicable collecting society in their Territory regarding the clearance of any sound recording or performance included within the AP Television News service (iii) they have editorial responsibility for the use of all and any content included within the AP Television News service and for libel, privacy, compliance and third party rights applicable to their Territory. Find out more about AP Archive: http://www.aparchive.com/HowWeWork Twitter: / ap_archive Facebook: / aparchives Instagram: / apnews You can license this story through AP Archive: http://www.aparchive.com/metadata/you...
