The world has changed dramatically in the three months since our last update of the World Economic Outlook in January. A rare disaster, a coronavirus pandemic, has resulted in a tragically large number of human lives being lost. As countries implement necessary quarantines and social distancing practices to contain the pandemic, the world has been put in a Great Lockdown. The magnitude and speed of collapse in activity that has followed is unlike anything experienced in our lifetimes.
The reasons Venezuela is in crisis are years of hyperinflation, violence, and food and medicine shortages. The country was once considered the richest in Latin America, thanks to having the largest oil reserves in the world. But more than a decade of declining oil revenue and poor governance led to the collapse of the national economy, and the government has not been able to provide adequate social services. 2b1af7f3a8