Venezuela Enters into an Agreement to Refinance the Debt with Russia


Venezuela Enters into an Agreement to Refinance the Debt with Russia

El Gobierno de Venezuela celebró la firma del protocolo de refinanciamiento de la deuda externa que mantiene con Rusia y ratificó la disposición de mantener su tradición histórica de país solvente.

Venezuela government entered into a protocol to refinance the foreign debt with Russia and ratified its will to keep its historical tradition of a reliable country.

In an official press release, Venezuela states that the operation with Russia, which implies the enlargement of payment term –originally stated for the year 2022- to the year 2026, for the amount of $ 3,150 million  lets more flexible financing terms and the consequent “freedom of resources to satisfy Venezuela peoples’ needs”.

According to this refinancing, there will be 10 year payments with a minimum expense during the first six years and flexible terms.

There follows the complete text released by the Ministry of Communication and Information:

15th November, 2017.

The Government of the Bolivarian Republic of Venezuela is pleased to inform to the world that the Protocol of Financing Amendment has been entered into today and which is in force between the Federation of Russia and Venezuela.

As it was announced during the 13th November, 2017 meeting between the government of Venezuela and the bond holders, Venezuela is proposing a reliable, open and organized mechanism to rearrange the foreign debt. The purpose is to keep its historical tradition as a reliable country which has honored all its debts and to overcome the difficulties arising from constrinctive financial actions imposed by Trump government. Upon request of unpatriotic representatives of a political sector in our country, the USA government, by means of its Treasury Department and unreliable risk qualifiers, has settled mechanisms to hinder the good intention on the part of Venezuela government to suitably honor interest and capital of its debt.

The Protocol entered into on this day involves a significant step in President Nicolás Maduro’s strategy to rearrange the foreign debt. Furhermore, it implies the enlargement of payment term, originally settled for the year 2022 up to the year 2026. The objective is to minimize and distribute the financing charge along the time. Besides, financing terms –which comprise 3,150 million dollars- are more flexible. This reduction of financing charge will soon result in freedom of resources to satisfy Venezuela people’s needs and the economic development of our country.

The Protocol entered into with the friendly government of Federation of Russia strengthens the wonderful binational strategic relationships between our governments and our peoples. Furthermore, it is positively anticipating, the success we will undoubtedly get when, on 20th November, 2017 the Intergovernmental Committee of Russia Venezuela High Level meet and strengthens the strong friendship and cooperation links created by Vladimir Putin, Hugo Chávez and Nicolás Maduro to accompany our peoples and make them happy.


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