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  • Category: Miscellaneous

    What is the exact problem in Venezuela?

    Venezuela is a country in South America and is having a large amount of crude oil reserves and whenever crude prices increase it is benefitted immensely.

    Unfortunately, inspite of such a great gift of nature, Venezuela is struggling hard to keep a control on its hyperinflation and shortage of day to day staple foods and other items.

    For last few years, Venezuela is trying hard to manage the shortage of food and medicines but situation is deteriorating fast and now many many people are leaving the country and moving to Colombia and Ecuador, the nearby countries. These people are desperate to get some shelter and work for their livelihood and many of them are simply begging for their daily meals.

    This is an example of bad governance in a country that inspite of being oil rich it could not sustain the growth and development.

    What are the views of the members on this international scenario?
  • #645078
    What is the use of petrol and crude oil available in abundance where there is absolute shortage of food and medicines. Venezuela should have agreements with other countries on the lines of barter system so that petrol or crude oil can be exchanged for food and other items. Then only the country can sustain the growth, otherwise in spite of having petrol if the country is not having other basic things for survival, then there would be unrest across that country. Even India should have barter agreement so that we can get cheaper petrol to tie down the increasing petrol cost from other countries.
    K Mohan
    'Idhuvum Kadandhu Pogum "
    Even this challenging situation would ease

  • #645080

  • #645087
    A good example of bad governance. They have rich resources of crude oil. The whole world is importing the crude oil. They can use these resources to their advantage. They can get the other required items by imports and they can export the crude oil products. They will have the good reserve of money and they can progress well. But unfortunately, the communist ideology of those rulers there is making the country and the citizens there to suffer.
    If they don't have food and the government is not able to make these products available to the public how they can sustain there. There is no alternative for them except going away from the country. Hope the rulers and politicians there will get their senses right and arrange for the essential commodities from other countries and see that people will get enough food to sustain in their Nation. Once they have food, automatically development activities will start and they may become self-sufficient to have a peaceful life in the country.

    always confident

  • #645092
    Venezuela is a good example showing that even if you have knowledge and you don't channelise it properly, the knowledge is waste. Venezuela, despite having rich oil resources, is not able to manage them properly because of corruption. Having hyperinflation to the tune of lakhs is a dangerous situation. Recently, we have observed such a scenario in Zimbabwe where the Government used to print 1 billion Zimbabwean dollar note which was worth of a single bun. Such was the situation in Zimbabwe. Venezuela can take the example of hyperinflation in Zimbabwe and try to switch to some other standard currency instead of having its own currency.

  • #645188
    The problem in Venezuela is the same type as was in Iraq and Libya. They have valuable oil resources that others envy. Venezuela also does not toe the dictum of the USA and partners, so they will always have trouble. It is not to do with governance or communist rule. It is to do with resisting being traitor to their own people. Iraq/Libya rulers didn't so they got eliminated. Libya being a desert land, had built a fantastic underground water supply system that provides water to most of its people. The profits from oil was set up to trickle directly into people bank accounts.

    Syria and North Korea (huge rare earth mineral wealth) escaped so far the same thing that is happening to Venezuela. Many countries in Africa got sold out, so they have a small % of wealthy ruling class, and the rest poor, and with a minimal of middle class. These countries wealth get siphoned off by several US and west European corporations. Zimbabwe opposed but they didn't have their own natives trained in agriculture and management so they went through a horrible period. Note, corruption is found in all countries including in Africa and South America, but they are lesser than what is found in developed countries.

    Last few days Turkey currency hit a low, and they also have issues with US/NATO. They have a great strategic importance in controlling the sea lines to Black Sea.

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