China to loan $4-billion to Venezuela in exchange for oil
China to loan $4-billion to Venezuela in exchange for oil
Deisy Buitrago
Reuters
Published Monday, Jul. 21 2014, 3:57 PM EDT
Last updated Monday, Jul. 21 2014, 3:59 PM EDT
China will provide Venezuela with a new $4-billion credit line under an agreement signed on Monday, with the money to be repaid by oil shipments from OPEC member Venezuela.
The deal was inked during a 24-hour visit to Venezuela by Chinese President Xi Jinping, who is on a tour of Latin America.
The money will go into the Joint Chinese-Venezuela Fund, which focuses on infrastructure and economic development in the South American country.
President Nicolas Maduro said the Venezuelan government would also put $1-billion into the fund, though officials later said that amount was in fact $2-billion.
The government said this weekend the fund has about $40-billion in it, though it was not clear if that included the amounts covered by Monday’s agreement.
Officials said the credit would be repaid by shipments of about 100,000 barrels per day of crude oil and products.
More:
http://www.theglobeandmail.com/report-on-business/international-business/latin-american-business/china-to-loan-4-billion-to-venezuela-in-exchange-for-oil/article19699329/
