Venezuelan economist José Guerra condemns central bank policy and debt outlook

Economist José Guerra said the Central Bank of Venezuela (BCV) has injected about $9 billion into the foreign‑exchange market this year, roughly double the amount intervened in the same period last year. He warned that the operation has consumed around 70 % of oil‑generated foreign exchange, yet the bolívar’s exchange rate rose 157 % from December 2025 to July 2026 and inflation climbed at a similar pace, undermining the credibility of the currency regime.

Guerra also argued that Venezuela is not ready to restructure its external debt. After the June‑24 earthquakes that devastated Vargas, Miranda, Aragua, Carabobo and parts of Caracas, reconstruction costs exceed $20 billion, far beyond the fiscal capacity of a government whose 2026 revenues are projected at $22‑23 billion. He estimated total external debt at about $168 billion, far below the $240 billion cited by some sources, and cautioned that debt‑service payments would crowd out wages, infrastructure and essential services. Guerra urged the government to seek external financing for the emergency rather than diverting funds to debt restructuring.