Analysis by Region - Emerging Markets - Venezuela

Analysis by Region - Emerging Markets - Venezuela

We estimate Venezuela's economy grew 12.3% in 2022, supported by strong oil production and higher WTI prices. However, the picture looks less rosy for 2023 and 2024 as the oil market normalises and global demand adapts itself to current market supply conditions. We see a very gradual pickup in productivity over the long term, as the economy lacks human and physical capital endowments to grow by more than 3.5% pa on average in the next decade.