Hyperinflation in Venezuela is forecast to reach a STUNNING 720% in 2016. 
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From Tyler Durden, ZeroHedge:

 Spiking prices and widespread shortages for even staples have driven discontent in Venezuela. That helped spur the opposition to gain control of Congress for the first time in a decade as President Nicolas Maduro attempts to turn the tide of what he has deemed an “economic emergency.”
A lack of hard currency has led to scarcity of intermediate goods and to widespread shortages of essential goods — including food — exacting a tragic toll,” Werner said. “Prices continue to spiral out of control.”

According to the latest IMF estimate, Venezuela’s consumer inflation, already the world’s highest, will triple this year to a level above all estimates from economists surveyed by Bloomberg.

This is because the IMF, which until recently had predicted “only” 204% inflation for Venezuela, already higher than the 140% consensus, revised its numbers and now sees a mindblowing 750% hyperinflation in 2016: this means that the average price of products and services will increase over eight times over the span of the next 12 months.

Bloomberg reports that inflation will surge to 720 percent in 2016 from 275 percent last year, according to a note published by the IMF’s Western Hemisphere Director, Alejandro Werner. That’s nearly quadruple the median 184 percent estimate from 12 economists surveyed by Bloomberg, and exceeding the highest forecast of 700 percent from Nomura Securities.

Venezuela’s central bank published economic statistics Jan. 15 for the first time in a year, confirming that inflation had reached triple digits and closed the third quarter at 141.5 percent on an annual basis. As of December 2014, the last time data was released, inflation was 68.5 percent.

It has gotten so surreal, that the local central bank accused websites that track the dollar’s street value of “destroying prices” and installing a “savage” form of capitalism in the country, adding that 60 percent of inflation was the result of currency manipulation.

Whatever the cause, the reality is that real inflation is even worse, and when charted, this is what the death of a sovereign nation looks as follows (this does not assume a sovereign bankruptcy; when that happens the hyperinflation will really take off):

Click here for more from Tyler Durden:

  1. So a liaf of bread didnt ACTUALLY rise in price…. Its just that the FAITH in their “valueless” FIAT CURRENCY has fallen. IE: no one wants their worthless pieces of paper.

    Its too bad their currency wasnt MONEY. Its the falling knife that no one wants to be left holding at the end of the day.

  2. In 21 anyone remotely considering himself/herself as an intelligent person should know that 99.9% of all central banks are franchises of the Federal Reserve and just like in the States are indеpendant entities. So in this scheeme how and where does it matter if a country has a socialist or capitalist orientation?  How’s capitalist America doing any better than socialist France? Btw, why is socialist France or Sweden with negative interest rates is any better than socialist Venezuela? Only because of stupid propaganda on TV. At this point it should be clear to anyone that central bank is creating inflation to start a colour revolution. It has nothing to do with “hard currency” or “soft currency”. The central bank is devaluing the currency, creating chaos in the hopes of taking control of the country and most importantly taking back the oil industry which was nationalized by Chavez. Dollar badly needs an oil base.

    • Don’t know about you but that chart is definitely missing something… like the HUGE difference between the “official” rate of exchange and the actual rate of exchange.  The government in Venezuela will tell us that their Bolivar is worth 1/6 of a US$… while on the street, one can get 600 Bolivars for a US$, not 6.

      See more info here:  http://www.voanews.com/content/venezuela-exchange-rate-tumbles/2856066.html.

  3. AND….don’t forget….those pesky Italian’s started some “quiet” bank runs over there in “Southern EU” about the new year or so…it came out in the open last week…

    The “Bail-in” is being considered “to risky” to try now…means those bankster’s and Pol’s could be meeting some new rope, eh?.. so…the good-old taxpayers will be next up at bat…

    The next “chapter and verse” can only get better, eh?

  4. In the 21 century anyone who is remotely considering himself/herself as an intelligent person should know that 99.9% of all central banks are franchises of the Federal Reserve and just like in the States are indеpendant entities. So in this scheeme how and where does it matter if a country has a socialist or capitalist orientation?  How’s capitalist America doing any better than socialist France? Btw, why is socialist France or Sweden with negative interest rates is any better than socialist Venezuela? Only because of stupid propaganda on TV. At this point should be clear to anyone that central bank is creating inflation to start a colour revolution. It has nothing to do with “hard currency” or “soft currency”. The central bank is devaluing the currency, creating chaos in the hopes of taking control of the country and most importantly taking back the oil industry which was nationalized by Chavez. Dollar badly needs an oil base.

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