Venezuela: Central Bank in the spotlight over alleged government pressure

On 30 December, the Central Bank unveiled the monthly figures for November and December. The Bank had not published inflation data since 7 November. This led many analysts to suspect that the government had increased its pressure on the Central Bank, which has always been considered one of the most reliable institutions in Venezuela. Such pressure from the government would threaten the Bank’s independence and objectivity. Analysts’ suspicions have been partially substantiated by the unusual nature of the Central Bank’s press release. The Bank released only month-on-month variations, without showing annual inflation, the sub-categories of the index, nor the closely-watched scarcity index. Instead, the Central Bank vowed to work on new economic indicators that better reflect the situation of the country. In addition, the document surprised analysts due to its strong ideological and pro-government tone.

Read more about Venezuelan Inflation.

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