Venezuela's foreign reserves hit twenty-year low following PDVSA payments

According to the latest data from the Banco Central de Venezuela (BCV), Venezuela's foreign reserves fell to US$10.898 billion, hitting a twenty-year low (Panorama, 28 October 2016). Venezuela's foreign reserves fell to their lowest level since June 1996, when the reserves reached US$10.708 billion (La Patilla). The decline followed a debt payment of approximately US$1 billion from state oil company Petróleos de Venezuela (PDVSA) to bondholders after a bond matured on 28 October, causing Venezuela's foreign reserves to lose US$909 million in a single day (Panorama). The South American country's foreign reserves have lost US$5.423 billion since January 2016.