Inflation in Venezuela could top 1 million percent by year’s end as the country’s historic crisis deepens, the International Monetary Fund said on Monday.
Venezuela’s economic turmoil compares to Germany’s after the first world war and Zimbabwe’s at the beginning of the last decade, said Alejandro Werner, head of the IMF’s western hemisphere department.
“The collapse in economic activity, hyperinflation, and increasing deterioration … will lead to intensifying spillover effects on neighboring countries,” Werner wrote in a blogpost.
The International Monetary Fund (IMF) is forecasting a 0.2 percent growth in Trinidad and Tobago's economy this year.
The figure was listed in the IMF's World Economic Outlook for 2018, released today.
It also forecasts the same growth rate of 0.2 percent for the year 2019 but has a five-year forecast of 1.9% growth in 2023.
According to the IMF figures, Trinidad and Tobago was among three of 32 countries in Latin America and the Caribbean, that registered a decline in its economy last year.
The IMF figures show that real GDP fell 2.6% in 2017.
The Ministry of Finance says the Chamber of Industry and Commerce has misunderstood the IMF report.
While the Chamber says the Government owes businesses $5.5b in VAT, the Finance Ministry contends that businesses owe roughly $16b in taxes.
The following is a press release from the Ministry of Finance:
The Ministry of Finance wishes to set the record straight on statements made by the Trinidad and Tobago Chamber of Industry and Commerce (TTCIC) in a press release dated November 28th, 2017.
Minister of Finance Colm Imbert, is taking positives out of the recent report by the International Monetary Fund as it relates to this country.
The Minister has issued the following statement on the report:
"The Executive Board of the International Monetary Fund (IMF) recently concluded its report on the 2016 Article IV Consultation with Trinidad and Tobago.
In a Press Release dated June 20, 2016, the IMF reported that the recent sharp decline in the global energy prices is posing major challenges for the Trinidad and Tobago economy.