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FINANCIAL NEWS
Qatar considers funding energy projects in Venezuela
18 Jan 2015
(MENAFN) Qatar said that it is currently considering funding projects in Venezuela as the Latin American state tries to find solutions to help repair the damage done to its economy by plummeting oil revenues, Gulf Business reported
The country said that it is currently in the process of studying the possibility of investing in Venezuela’s energy, real estate and tourism sectors, while Venezuela said that it is also looking to increase food exports to Qatar, which imports more than 90 percent of its food supplies.
Venezuela, which relies on oil for 96 percent of its hard currency revenues, has been negatively affected by the plunge in the global oil prices, which lost almost 60 percent of its value since it started declining in June.
“Qatar like other Gulf states understands that some countries are suffering but there is nothing we can do about it, our production is very small in any case,” an energy industry source in Doha said.
Current estimates say that Venezuela faces a foreign exchange financing gap of USD33.9 billion if the oil prices average USD50 this year and despite the prices hitting USD42.44 per barrel last week.
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