According to Trading Economics global macro models and analysts, Venezuela’s GDP is predicted to reach 240.00 USD billion by the end of 2021. According to our econometric models, the Venezuelan GDP is expected to trend at 230.00 USD billion in 2022.
Is Venezuela a developing nation?
Venezuela’s crisis is a long-running socioeconomic and political catastrophe that began under Hugo Chvez’s administration and has intensified under Nicolas Maduro’s. Hyperinflation, rising famine, disease, crime, and mortality rates have all contributed to significant departure from the country.
According to economists questioned by The New York Times, the current scenario is by far the greatest economic catastrophe in Venezuela’s history, as well as the worst faced by a country in peacetime since the mid-twentieth century. The crisis is also worse than the Great Depression in the United States, the Brazilian economic crisis of 19851994, or Zimbabwe’s hyperinflation of 20082009. Other writers have compared aspects of the crisis, such as unemployment and GDP contraction, to those in Bosnia and Herzegovina following the 19921995 Bosnian War, as well as those in Russia, Cuba, and Albania following the fall of the Soviet Union in 1991 and the collapse of the Eastern Bloc in 1989.
Due to mounting shortages in Venezuela, Chvez launched a “economic war” on June 2, 2010. Under the Maduro administration, the crisis worsened, exacerbated by low oil prices in early 2015 and a reduction in Venezuela’s oil production due to a lack of maintenance and investment. In the face of declining oil income, the government has failed to curb spending and has responded to the problem by denying its existence and aggressively suppressing opposition. Extrajudicial killings by the Venezuelan government have become common, with the UN reporting 5,287 killings by the Special Action Forces in 2017, and at least another 1,569 killings in the first six months of 2019, with the UN stating that some of the killings were “done as a reprisal for participation in anti-government demonstrations.”
Political corruption, chronic food and medication shortages, business closures, unemployment, declining productivity, authoritarianism, human rights violations, terrible economic mismanagement, and a significant reliance on oil have all exacerbated the issue.
The European Union, the Lima Group, the United States, and other nations have imposed individual penalties on government officials and members of the military and security services in reaction to human rights violations, the erosion of the rule of law, and corruption. The US would eventually broaden its sanctions to include the petroleum industry. Supporters of Chvez and Maduro believe the problems are the product of a “economic war” on Venezuela, which includes “falling oil prices, international sanctions, and the country’s business elite,” while detractors argue the crisis is the result of “years of economic mismanagement and corruption.” The problem, according to most commentators, is caused by anti-democratic administration, corruption, and economic incompetence. Others blame the crisis on the government’s “socialist,” “populist,” or “hyper-populist” policies, as well as their use to maintain political power. According to national and international analysts and economists, the crisis is the result of populist policies and corrupt practices that began under the Chvez administration’s Bolivarian Revolution and continued under the Maduro administration, rather than a conflict, natural disaster, or sanctions.
On all levels, the crisis has had an impact on the average Venezuelan’s life. By 2017, hunger had reached a tipping point, with nearly 75% of the population losing an average of over 8 kg (over 19 lbs) of weight and more than half of the population lacking the income to meet their basic food demands. According to a UN report released in March 2019, 94 percent of Venezuelans live in poverty, and nearly 20% of Venezuelans (5.4 million) will have left the nation by 2021. According to a UN assessment, 25% of Venezuelans will require humanitarian aid in 2019. Venezuela lead the world in murder rates in 2018, with 81.4 people killed per 100,000, making it the world’s third most dangerous country. Following growing international sanctions during 2019, the Maduro government abandoned policies instituted by Chvez, such as pricing and currency controls, resulting in a brief economic recovery before COVID-19 arrived in Venezuela the following year. As a result of the depreciation of the official bolvar currency, the people began to rely on US dollars for transactions in 2019.
According to the national Living Conditions Survey (ENCOVI), 94.5 percent of the population lived in poverty in 2021, with 76.6 percent living in extreme poverty, the highest proportion ever recorded in the country.
When did Nicolas Maduro take power?
Nicols Maduro was elected President of Venezuela on April 14, 2013, narrowly defeating opposition candidate Henrique Capriles with only 1.5 percent of the vote separating the two. Capriles demanded a recount right away, refusing to accept the result as legitimate. After the election commission promised a complete assessment of the election results, Maduro was legally inaugurated as President on April 19th. He announced the formation of a new agency, the Vice Ministry of Supreme Happiness, on October 24, 2013, to oversee all social programs.
In 2021, what would India’s GDP be?
In its second advance estimates of national accounts released on Monday, the National Statistical Office (NSO) forecasted the country’s growth for 2021-22 at 8.9%, slightly lower than the 9.2% estimated in its first advance estimates released in January.
Furthermore, the National Statistics Office (NSO) reduced its estimates of GDP contraction for the coronavirus pandemic-affected last fiscal year (2020-21) to 6.6 percent. The previous projection was for a 7.3% decrease.
In April-June 2020, the Indian economy contracted 23.8 percent, and in July-September 2020, it contracted 6.6 percent.
“While an adverse base was expected to flatten growth in Q3 FY2022, the NSO’s initial estimates are far below our expectations (6.2 percent for GDP), with a marginal increase in manufacturing and a contraction in construction that is surprising given the heavy rains in the southern states,” said Aditi Nayar, Chief Economist at ICRA.
“GDP at constant (2011-12) prices is estimated at Rs 38.22 trillion in Q3 of 2021-22, up from Rs 36.26 trillion in Q3 of 2020-21, indicating an increase of 5.4 percent,” according to an official release.
According to the announcement, real GDP (GDP) or Gross Domestic Product (GDP) at constant (2011-12) prices is expected to reach Rs 147.72 trillion in 2021-22, up from Rs 135.58 trillion in the first updated estimate announced on January 31, 2022.
GDP growth is expected to be 8.9% in 2021-22, compared to a decline of 6.6 percent in 2020-21.
In terms of value, GDP in October-December 2021-22 was Rs 38,22,159 crore, up from Rs 36,22,220 crore in the same period of 2020-21.
According to NSO data, the manufacturing sector’s Gross Value Added (GVA) growth remained nearly steady at 0.2 percent in the third quarter of 2021-22, compared to 8.4 percent a year ago.
GVA growth in the farm sector was weak in the third quarter, at 2.6 percent, compared to 4.1 percent a year before.
GVA in the construction sector decreased by 2.8%, compared to 6.6% rise a year ago.
The electricity, gas, water supply, and other utility services segment grew by 3.7 percent in the third quarter of current fiscal year, compared to 1.5 percent growth the previous year.
Similarly, trade, hotel, transportation, communication, and broadcasting services expanded by 6.1 percent, compared to a decline of 10.1 percent a year ago.
In Q3 FY22, financial, real estate, and professional services growth was 4.6 percent, compared to 10.3 percent in Q3 FY21.
During the quarter under examination, public administration, defense, and other services expanded by 16.8%, compared to a decrease of 2.9 percent a year earlier.
Meanwhile, China’s economy grew by 4% between October and December of 2021.
“India’s GDP growth for Q3FY22 was a touch lower than our forecast of 5.7 percent, as the manufacturing sector grew slowly and the construction industry experienced unanticipated de-growth.” We have, however, decisively emerged from the pandemic recession, with all sectors of the economy showing signs of recovery.
“Going ahead, unlock trade will help growth in Q4FY22, as most governments have eliminated pandemic-related limitations, but weak rural demand and geopolitical shock from the Russia-Ukraine conflict may impair global growth and supply chains.” The impending pass-through of higher oil and gas costs could affect domestic demand mood, according to Elara Capital economist Garima Kapoor.
“Strong growth in the services sector and a pick-up in private final consumption expenditure drove India’s real GDP growth to 5.4 percent in Q3.” While agriculture’s growth slowed in Q3, the construction sector’s growth became negative.
“On the plus side, actual expenditure levels in both the private and public sectors are greater than they were before the pandemic.
“Given the encouraging trends in government revenues and spending until January 2022, as well as the upward revision in the nominal GDP growth rate for FY22, the fiscal deficit to GDP ratio for FY22 may come out better than what the (federal) budget projected,” said Rupa Rege Nitsure, group chief economist, L&T Financial Holdings.
“The growth number is pretty disappointing,” Sujan Hajra, chief economist of Mumbai-based Anand Rathi Securities, said, citing weaker rural consumer demand and investments as reasons.
After crude prices soared beyond $100 a barrel, India, which imports virtually all of its oil, might face a wider trade imbalance, a weaker rupee, and greater inflation, with a knock to GDP considered as the main concern.
“We believe the fiscal and monetary policy accommodation will remain, given the geopolitical volatility and crude oil prices,” Hajra added.
According to Nomura, a 10% increase in oil prices would shave 0.2 percentage points off India’s GDP growth while adding 0.3 to 0.4 percentage points to retail inflation.
Widening sanctions against Russia are likely to have a ripple impact on India, according to Sakshi Gupta, senior economist at HDFC Bank.
“We see a 20-30 basis point downside risk to our base predictions,” she said. For the time being, HDFC expects the GDP to rise 8.2% in the coming fiscal year.
Why is the bolivar in Venezuela so cheap?
The reform aims to simplify cash transactions and bookkeeping, which are frequently confounded by a series of ungainly zeros. Banks were obliged to limit how much cash individuals may withdraw per day due to the inflation, forcing many citizens to use US dollars or electronic payment methods.
It comes as Venezuela’s GDP has dropped by 80% since 2013, as the price of oil has dropped and output has shrunk as a result of decades of under-investment and government mismanagement.
In barely over ten years, the bolivar has lost nearly all of its value, with a drop of nearly 73 percent in 2021 alone.
While Venezuela’s central bank no longer publishes inflation figures, the International Monetary Fund projects that the country’s rate would be 5,500 % by the end of 2021.
For one loaf of bread, seven one-million bolivar notes the biggest denomination and the most difficult to come by were required to be paid in cash as of Friday.
What’s the state of Venezuela’s economy?
Economic Development in Venezuela The growth of US sanctions and the price of oil are two essential elements to keep an eye on. The LatinFocus Consensus Forecast panel predicts that the economy will grow by 6.7 percent in 2022, up 0.5 percentage points from last month’s forecast. According to the panel, the economy would grow at a rate of 4.8 percent in 2023.
Which country is the most powerful in the world?
In the 2021 Best Countries Report, Canada wins the top overall rank as the world’s number one country for the first time. After coming in second place in the 2020 report, Canada has now eclipsed Switzerland in the 2021 report, with Japan, Germany, Switzerland, and Australia following closely behind.
In 2021, which country will have the greatest GDP?
What are the world’s largest economies? According to the International Monetary Fund, the following countries have the greatest nominal GDP in the world: