S&P has lowered Venezuela's rating for debts in currency to a default level

The International rating agency Standard & Poors (S&P) has lowered the Venezuela rating for loans in foreign currency to the default level after the failure to fulfill the interest payment schedule. The long -term rating of debt obligations of the South American country is reduced to the level of SD/D. Venezuela's debt obligations in the national currency S&P left at the pre -end level, RIA Novosti reports.

We are talking about the inability of Venezuela to pay for coupons for global bonds in the amount of $ 200 million. The repayment of bonds should take place in 2019 and 2024. The 30-day period of preferential payment of interest ended last week. The emission rating for these bonds is reduced to D C CC.

S&P believes that Karakas can again miss the payment for its outstanding debt obligations or within the next three months to carry out "surgery to resolve problem debts, equivalent to default." The agency evaluates the possibility of entering Venezuela during the suspension of payments in the next three months in 50%.

On November 8, the Fitch agency reduced the rating of the state oil company Petroleos de Venezuela SA from the SS level (default) to C (default is inevitable).

Venezuela authorities recalls Reuters, are negotiating with creditors on debt restructuring, but they are still unsuccessful, although President Nicholas Maduro has already announced their success. Earlier, he argued that Venezuela would never declare default at all.

Karakas claims that Donald Trump and global financial circles conspired, so as not to allow the country to pay debts in a timely manner. This only strengthens the suspicions that Venezuela is not going to fulfill his obligations, but simply tries to win time.

Over the past years, Venezuela has been experiencing an acute socio -economic crisis that has aggravated in 2014, when oil prices collapsed - its main export product.