Never mind inflation, scarcity, and all the rest. Here are some hidden nuggest in Venezuela’s recent economic history:
- The latest Doing Business Report ranks Venezuela 181 out of 189 countries in terms of ease of doing business.
- In the third quarter of 2013, loans to the manufacturing sector increased by 51%. But in the same quarter, manufacturing GDP shrunk by 0.3%.
- Between the third quarter of 2008 and the third quarter of 2013, manufacturing GDP shrunk by 4.1%.
- You know what else shrunk in the third quarter of 2013? Construction GDP, which decreased by 3.2%. Misión Vivienda is running on fumes.
- What little growth we had in 2013 was driven by the following sectors: financial institutions, communications, and public sector services. If you take out the financial sector, growth slows to a halt.
- Banking GDP rose by an amazing 19.5% in the third quarter of GDP. The strange thing is that the number of banking employees rose by a paltry 3%, the number of banks did not increase, and the number of bank branches only rose by 1%. The growth can be explained by an astonishing 64% growth in liquidity, i.e., the money in the economy.
- While oil exports grew by 459% between 1999 and 2012, actual physical number of barrels of oil exported shrunk by 16% in the same period.
- Between 2013 and 2019 alone, Venezuela will have to pay $42 billion just to service its foreign debt. This does not include debt to China.