what's he saying...

[Doug Henwood]

>From: "pms" <laflame at aaahawk.com>
>To: <lbo-talk at lists.panix.com>
>Subject: What's he saying and why would he say it here?
>Date: Sun, 19 May 2002 13:58:22 -0400
>MIME-Version: 1.0
>Content-Type: text/plain;
>	charset="iso-8859-1"
>Content-Transfer-Encoding: 7bit
>X-Priority: 3
>X-MSMail-Priority: Normal
>X-Mailer: Microsoft Outlook Express 5.00.2615.200
>X-MimeOLE: Produced By Microsoft MimeOLE V5.00.2615.200
>
>Venezuela Oil Fund Hole A Serious Matter-Congress Advisor
>
>NEW YORK -(Dow Jones)- There are "legitimate questions" as to the
>whereabouts of 2.34 trillion bolivars ($1=VEB1,005.38) that the Venezuelan
>government should have deposited in a windfall oil revenue fund, said the
>head of the economic advisory office to the country's National Assembly.
>Speaking at a Council of the America's conference Friday, Francisco
>Rodriguez said it was likely that the money was used to cover unforeseen
>expenditures or revenue shortfalls.
>
>The National Assembly approved the deposits in the fourth quarter of last
>year. Shortly before being replaced as finance minister in February, Nelson
>Merentes had said the deposits would be made "in the coming days."
>
>Charges of malfeasance "are very serious allegations," said Rodriguez, who
>was appointed to his current position in December 2000. "There are laws to
>deal with (public sector) patrimonial losses."
>
>As of Thursday, the Macroeconomic Stabilization Fund had a total of $5.3
>billion, but reportedly only $49 million corresponds to the central
>government, while the balance belongs to the state oil company and state
>governments.
>
>The fund is supposed to collect half of oil revenues above budgeted levels.
>It is meant to provide a cushion against budgetary shocks when the price of
>oil falls precipitously. The government sources half its income from oil.
>
>Yet there's hardly a plummet in oil prices.
>
>The price of the country's oil basket stood at $23.13 a barrel Friday, while
>year-to-date the average price stood at $19.20/bbl.
>
>The 2002 federal budget is based on the oil basket averaging $16/bbl.