Posted on 09/02/2015 4:58:55 AM PDT by thackney
Venezuela’s government, facing a cash crunch amid a slump in oil prices, signed a deal to receive a $5 billion loan from China, President Nicolás Maduro said Tuesday.
The funds will go to increase oil production in Venezuela in the coming months, Mr. Maduro said without offering more details during an address from China that was broadcast on Venezuelan state television.
Support from Beijing—which also renewed a separate $5 billion loan to Venezuela earlier this year—may offer some relief to bond markets, where Venezuela’s debt securities are rated among the world’s riskiest. Wall Street analysts say the country could default on its debt as soon as next year.
(Excerpt) Read more at wsj.com ...
It is a petroleum based reverse mortgage.
The Chavez/Maduro government has used up everything else of value in the country.
Reverse mortgages can be a good deal for those near end of life.
Not so much for the heir left after their passing.
The Chinese are nobodies fools. Undoubtedly this deal includes employing Chinese exploration companies using Chinese workers and Venezuelan oil contracted at 40$ per barrel for seven years out.
If all goes well then more goodies like Chinese bases to annoy the USA
As if they can afford to take on more debt
The person who lends the money is the Master
The person who takes the money is a slave.
Each time, every time. They’ll LOVE their need lord.
I think that Venezuela serves as a great example for the world.
A tinpot dictator comes to power by promising wealth to the citizens.
His real goal is to enrich himself.
He calls his phony lies about imaginary wealth for the citizens “socialism”.
He blames all of his failures on others.
He runs his country and people into the ground to steal their wealth.
American Liberals glorify him.
Here is the fruit the Democrat Party dares you to take a bite of.
A police state where misery is the common denominator.
chinese knew they could not easily buy up a distressed US oil company so went for the next best thing in getting hands on reserves.
PDVSA owns Citgo and their Lake Charles refinery. So the Chinese got a piece of a US oil company.
The person who lends the money is the Master
The person who takes the money is a slave.
Each time, every time. They’ll LOVE their need lord.
Chinese did not get a piece of Citgo anymore than the got a piece of their navy. Venezuela has continued to run debts to them and continue to make payments with their domestically produced oil.
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