Halister News

(Bloomberg) -- “We expect PDVSA to continue honoring its obligations and thus make the October and November payments in full,” Torino’s chief economist Francisco Rodriguez says in emailed note.

• Central Bank reserve data important to watch regarding April 12 payment
  • “Were PDVSA to make payments without tapping the Central Bank’s international reserves – as we expect to be the case – it would serve as a good sign that the country’s capacity to service its debt obligations is not deteriorating as rapidly as some market participants fear”
• Torino expects Venezuela to cover 2017 account deficit and financing needs through combination of asset sales and issuance of new liabilities
  • “We believe that the government would be willing to accept lower imports than those in our baseline scenario in order to avoid a default”