IMF cuts financial lifeline to Nicolas Maduro
The International Monetary Fund suspended the Venezuelan leader’s access to almost $400m of special drawing rights, citing political chaos
New York — As Nicolas Maduro steps up his search for cash overseas, another door is slamming shut. The International Monetary Fund (IMF) suspended the Venezuelan leader’s access to almost $400m of special drawing rights, citing political chaos since National Assembly President Juan Guaido claimed in January that he was the nation’s rightful leader, said two people familiar with the matter. Venezuela has already whittled its SDR holdings down from almost $1bn in March 2018. The IMF’s caution marks at least a temporary defeat for Maduro’s government as it seeks to gather money held abroad to stave off a devastating economic collapse that could undermine key support from top military commanders. The SDRs represent one of the regime’s last remaining sources of cash. Almost two-thirds of Venezuela’s $9bn in foreign reserves are in the form of gold, which has been difficult to liquidate because of US sanctions. IMF spokesperson Raphael Anspach said he couldn’t comment on the status of SDR...
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