IDB officials stall $2.5 billion loan to Venezuela

Inter-American Development Bank (IDB) President Ilan Goldfajn is seeking approval for a $2.5 billion loan to Venezuela, but faces questions from the bank's board of directors over granting the funds without the usual conditions imposed by other multilateral institutions, according to the outlet Descifrado.

The IDB stopped extending new financing to Venezuela in May 2018 because of payment arrears, a situation the current government is seeking to reverse by resuming institutional contacts with international bodies to support the country's economic recovery process.

Separately, according to Banca y Negocios, Venezuelan Deuda Pública Nacional bonds and PDVSA paper closed lower after reports that the government had decided not to pursue a restructuring of its external debt, which weighed on the securities' prices in international markets.

For macroeconomic context, the International Monetary Fund (IMF) projects that Venezuela's real GDP will grow 4.0% in 2026 and 6.0% in 2027, figures that are the agency's estimates and not observed data on historical performance.