IMF warns Venezuela's economy and humanitarian situation is quite fragile'

"Figures show Venezuela's public debt sits at roughly 180 percent of its GDP as the country struggles with tumult. The International Monetary Fund (IMF) has described Venezuela's economic and humanitarian situation as quite fragile, pointing to an estimated triple-digit inflation and a sharply depreciating currency. In a briefing on Thursday with reporters, spokeswoman Julie Kozack said the organisation continues to closely monitor developments in the South American nation, even though the IMF has had no formal relations with the Venezuelan government since 2019."

"Economic and political crises in Venezuela have driven massive emigration: Since 2014, roughly a quarter of Venezuela's population about 8 million people has left the country, creating one of the largest displacement crises in recent history. The Venezuelan economy in 2026 remains in a state of deep structural crisis. It is currently navigating a period of unprecedented volatility and rapid policy shifts, following years of hyperinflation and a contraction of its gross domestic product (GDP)."

"The United States military's abduction of former President Nicolas Maduro last month has triggered a seismic shift in both the political and economic landscape. While Maduro remains in US custody facing narco-trafficking charges, the acting administration under interim President Delcy Rodriguez has moved swiftly to implement a plan for stabilisation, recovery and transition. Venezuela is undergoing a severe and prolonged economic and humanitarian crisis, Kozack said during Thursday's briefing. Socioeconomic conditions remain very difficult. Poverty is high, inequality is high, and there's widespread shortages of basic services."

The International Monetary Fund describes Venezuela's economic and humanitarian situation as fragile, citing estimated triple-digit inflation and a sharply depreciating currency. Figures show public debt at roughly 180 percent of GDP and economic contraction after years of hyperinflation. The IMF has had no formal relations with the Venezuelan government since 2019, and any decision to re-engage would depend on guidance from IMF member countries and the international community. Since 2014 roughly a quarter of the population — about eight million people — has emigrated, creating one of the largest displacement crises. The US military's abduction of former President Nicolas Maduro triggered political and economic shifts while an interim administration pursues stabilisation and recovery measures.

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