Venezuela Declares Economic Emergency Meltdown

Venezuela President Nicolas Maduro declared a state of "economic emergency" for 60 days on Friday.

The government stopped publishing any economic data about the country in 2014, other than updates on its shrinking gold and cash reserves. But that changed Friday when Venezuela finally published years of economic data. And it was horrific

Venezuela's economy shrank 7.1% in the third quarter of last year, according to the government. It's been shrinking for seven consecutive quarters going back to the start of 2014.

Inflation in Venezuela skyrocketed 141% over the year ending in September, the central bank reported. Incredibly, some experts believe even that figure is understating the problem.

It is projected that inflation will increase 204% this year.

"The country is in economic meltdown," says Edward Glossop, emerging markets economist at Capital Economics. "The figures are predictably horrific."

Here are five reasons why Venezuela continues to be an economic mess:
1. Oil crash hurts Venezuela
2. A currency worth less than a penny
3. New power struggle dooms 2016
4. Default in 2016 is 'difficult to avoid'
5. Food crisis



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