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🇻🇪 Venezuela /Economy & Trade

Venezuela's Central Bank forecasts sustained recovery and falling inflation

From El Nacional · (9m ago) Spanish Positive tone

Translated from Spanish, summarized and contextualized by DistantNews.

TLDR

  • Venezuela's Central Bank (BCV) projects sustained economic recovery and reduced inflation in the coming quarters.
  • Preliminary data indicates the country's GDP grew in the first quarter of 2026, marking 20 consecutive quarters of expansion.
  • The BCV is working to strengthen the use of the bolívar in domestic transactions and normalize financial relations with international institutions.

The Central Bank of Venezuela (BCV) has presented optimistic projections for the nation's economy, forecasting a period of sustained recovery and a significant drop in inflation. According to preliminary figures, the Gross Domestic Product (GDP) experienced growth in the first quarter of 2026, extending an impressive streak of 20 consecutive quarters of economic expansion. This positive outlook was shared during a meeting in Caracas with representatives from both public and private banking sectors, including the Banking Association of Venezuela and Sudeban.

The BCV also highlighted a notable slowdown in both official and parallel exchange rates, with the gap between them narrowing to 29%. This stabilization is attributed to more active intervention by the monetary authority in the currency market. Furthermore, the bank is developing mechanisms to facilitate foreign currency exchange through official channels, while simultaneously emphasizing the need to bolster the use of the national currency, the bolívar, in domestic transactions through confidence-building measures.

Existen razones para pensar que a la economía nacional le va a ir bien en los próximos trimestres y que la inflación va a descender

— Luis Alberto Pérez GonzálezThe acting president of the BCV stated this during a meeting in Caracas, expressing optimism about the national economy and inflation.

In terms of international relations, the BCV president announced progress in restoring ties with multilateral organizations and international financial entities, such as the International Monetary Fund (IMF) and the U.S. Federal Reserve. Venezuela has appointed representatives to the IMF, signaling a step towards normalizing external financial links. The bank also stressed the importance of expanding credit to sustain economic growth, with both public and private banks playing a crucial role in financing productive activities. The gross credit portfolio has increased in 2026, with a credit intervention index of 64.4%, indicating greater credit participation relative to deposits. The BCV is also reactivating the publication of economic data under international standards to enhance transparency.

El crecimiento económico sostenido demanda créditos (…) Vamos por buen camino

— Luis Alberto Pérez GonzálezThe BCV president emphasized the need for credit to maintain economic growth, indicating the country is on the right track.
DistantNews Editorial

Originally published by El Nacional in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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