From El Universal:
The total liabilities of the state-run oil company amount to USD 60.3 billion.
Pdvsa liabilities, which increased 18.66 percent between 2007 and 2008, have climbed 202.83 compared to USD 19.92 billion in 2004, a year after the oil strike.
A report disclosed by research firm ODH shows that the accelerated pace of Pdvsa's indebtedness in 2007 slowed down in 2008, when the crude oil reached record high prices. However, the accumulation of liabilities as of the last quarter of 2008, when the price of oil began to plummet, has forced the Venezuelan state-owned oil company to contract new debts in 2009 to finance its current spending.
Thus, by the end of 2008 the debt of the oil holding declined 9.12 percent compared to the previous year, going from USD 16.61 billion to USD 15.09 billion. However, an analysis of the composition of its liabilities during the fiscal year, which grew by USD 9.49 billion (18.66 percent) to USD 60.32 billion, shows that in times of economic crisis the strategy of Pdvsa's board of directors was to maintain the social and tax contribution to the Executive Office. Meanwhile, Pdvsa let the accounts payable to suppliers of goods and services increase to record high levels.
Leave a comment