Rating agency Fitch lowered its assessment of the Venezuelan oil company PDVSA from “C” to “RD”, also considering that the state-owned enterprise is in a partial default on repaying its debt after failing to pay two maturities, the French press reported. This decision reflects the non-payment of bonds due on November 2 and October 27 due to delays in processing, resulting in bondholders being paid one week late, Fitch said in a statement.
The decrease in the estimate is almost the same as the decision of another agency – S&P Global Ratings – to place Venezuela in a partial default after the country could not repay 200 million USD on the maturity date yesterday even after a 30-day grace period.
Venezuela’s foreign debt is estimated at 150 billion USD.
But its foreign exchange reserves have melted to 9.7 billion USD, and by the end of the year it has to pay at least 1.47 billion USD, then 8 billion USD in 2018.