Girish Gupta

HOME

BY COUNTRY

Brazil
Colombia
Cuba
Ecuador
Egypt
Guyana
Jordan
Lebanon
Mexico
United Kingdom
Venezuela

BY MEDIUM

Text
Photo
Radio
TV/Video

BY PUBLISHER

Al Jazeera
BBC
BuzzFeed
CBC
Christian Science Monitor
CNN
Daily Mail
Datum
Ecologist
Economist Intelligence Unit
Emerging Markets
Financial Times
Foreign Policy
France 24
Fusion
GlobalPost
Guardian
Independent
La Prensa (Panama)
LatinFinance
Mancunion
Monocle
National (Abu Dhabi)
New Internationalist
New Statesman
New York Times
New Yorker
NPR
PBS
PRI
Radio France Internationale
Reuters
RTE
Sky News
Sun
Sunday Times
Telegraph
TIME
Times of London
USA Today
Vice
WLRN

ABOUT

About
CV
Contact
Hugo Chávez's daughter poses with US dollars
Jan. 26, 2012 — Caracas, Venezuela

Published by GlobalPost

A picture of Venezuelan President Hugo Chávez's teenage daughter fanning out US dollar bills has appeared on the Instagram website, focusing attention on her father's controversial economic policies which have led to a shortage of greenbacks back home.

Foreign currency in Venezuela is extremely scarce thanks to currency controls that limit individual exchange to just $3,000 per year. The policy was brought in nine years ago in order to clamp down on capital flight but has instead forced a black market which often sees trade at between 8 and 9 Bolívares Fuertes (BsF) to the dollar rather than 4.3 BsF — the fixed rate.

Venezuelans therefore must either forego foreign holidays and business trips costing more than $3,000 or buy dollars at the black market rate and lose half of their cash to the unfavorable exchange rate.

Cadivi is the government agency responsible for official exchange and is often criticised for corruption, whereby those who know the right people can go over their annual limit of dollar purchases.

The 14-year-old Rosinés Chávez Rodríguez flaunts the notes in front of her face in a picture most likely taken on an Apple product such as an iPhone or iPad. Marisabel Rodríguez, Rosinés' mother, now divorced from the president, defended her daughter's actions on Twitter. "The mistake wasn't to take the picture," she wrote, "but to post it on a medium where there are ignorant people."

The black market is favorable to those living in Venezuela paid in foreign currency. They often take advantage of the parallel rate to buy local currency at the inflated rate of between 8 and 9 BsF to the dollar. International purchases — flights, for example — bought with local currency on the black market are therefore roughly half price.

Filed from
Caracas, Venezuela






More...

Maduro revels in support from Zimbabwe, Iran as critics decry failed summit
Sept. 18, 2016


Venezuela summit draws few leaders in blow to Maduro
Sept. 17, 2016


Near Venezuela summit, pots-and-pans protest showed domestic tumult
Sept. 17, 2016


Once 'Pearl of Caribbean' gets new shine for Venezuela summit
Sept. 16, 2016


Maduro boasts start of Venezuela summit despite 'gringo pressure'
Sept. 13, 2016


Venezuela's troubles overshadow Non-Aligned Summit
Sept. 11, 2016


Venezuela renews drilling tender after earlier collapse - sources
Aug. 26, 2016


Hungry in a Venezuelan slum, a Facebook Live video
Aug. 04, 2016


In Venezuela's murky oil industry, the deal that went too far
Jul. 26, 2016


'We want food!' Looting and riots rock Venezuela daily
Jun. 12, 2016


Venezuela opposition attacked as they seek progress on Maduro recall
Jun. 08, 2016


Venezuela security forces block new anti-Maduro protest
Jun. 07, 2016


Venezuela opposition launches protests, Maduro counters
Mar. 12, 2016


American Airlines to ax newly reinstated Caracas-New York route
Mar. 08, 2016


Venezuela military company to start services to PDVSA in weeks
Mar. 08, 2016








© Girish Gupta