Venezuela’s Debt Problems Are About to Get Even Worse

  • Buffer period on Elecar’s $28 million payment ends Thursday
  • Deadline for $280 million of other payments is this weekend
Buildings stand in the skyline of Caracas, Venezuela.Photographer: Noah Friedman-Rudovsky
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Venezuela is set to fall even further behind on its debt.

With the national oil company already at riskBloomberg Terminal of triggering default-insurance contracts because bondholders haven’t received a $1.1 billion principal payment that was due last week, the state electricity utility now faces the end of a 30-day grace period for $28 million in interest that it owes. To make matters worse, buffers for an additional $280 million of obligations from the government and Petroleos de Venezuela expire over the weekend.