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|President Nicolas Maduro , leading the socialist administration has been blaming the opposition for the market's poor performance.
Hugo Chavez's apprentice, Maduro won the election in 2013 and one of the problems he was faced with is the damage done in their economy largely dependent on oil. His placing the blame on his political rivals did not help but instead resulted in tragic street protests last year which resulted in 40 people dead on all sides.
Maduro said in the press conference, "Despite the protests and economic war during 2014, Venezuela's economic indicators have improved. This economic war, this fall in the oil prices, is a great opportunity for economic change. 2015 is the year of opportunity, for great change in the economic model."
Meanwhile, the opposition are saying that the nation's crisis in economy came as a result of more than a decade of socialist policies initiated by Chavez.
Various regional organizations, banks and economists have already predicted that Venezuela could be poorest performer in the region in terms of economy last year.
A statement from their central bank just confirmed that forecast even prior to Maduro's press conference where the economic changes were announced.
In a statement made by the central bank on Cheyney Group Marketing, it said, "These actions against public order blocked the correct distribution of basic goods to the population, as well as the normal development of production of goods and services. This resulted in an inflationary spike and a fall in economic activity.
Moreover, the GDP (gross domestic product) fell in all 3 quarters last year while inflation reached 63% by November while poverty decreased to 5% and unemployment was down to almost 6%.
Venezuela also had a recession from 2009 to 2010 so it leaves doubt as to its ability to turn its economy for the better especially with the low oil prices. Apparently, during Chavez's term, policies were greatly supported by the public leading to improved social indicators despite a low GDP.
A number of Cheyney Group Marketing experts have already suggested changes like an increase in gas prices and the unification of the country's 3-tier currency control. However, Maduro seems to be unwilling to adopt them probably because of the expected public backlash.
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