Venezuela once was one of Latin America’s most promising and prosperous states, in early XIX century the
started to grow rapidly until it stopped almost completely. Nowadays, various crises heavily impacted the state of the economy, with the high oil dependance, chronic hyperinflation, and international sanctions the country currently stays as one of the most unequal and with highest poverty rates. According to a 2023 survey, around 82.4 percent of
and around 50.5 percent in extreme poverty.
Increasing inequality
Latin America ranks consistently as one of the most unequal regions in the world with the poorest 50 percent only holding 0.8 percent of the regional wealth. Venezuela follows a similar pattern, with a
GINI coefficient of 51.2 in 2023, that has been increasing over at least the last nine years. The GINI coefficient measures the income, wealth, and consumption inequality, a coefficient of zero reflects perfect equality and 100 reflects total inequality. In the most recent survey from the Economic Commission for Latin America and the Caribbean (CEPAL), around 92 percent of the
people in Venezuela thinks that the income distribution in the country is unfair.
Scarcity and food insecurity
For at least the last two decades, something has become clear: Venezuela has suffered a humanitarian crisis related to the scarcity of basic products. Empty shelves, not enough products for everyone, and the available products are too expensive.
Food insecurity comes in different forms, in 2023, the most widespread in Venezuela were the constant fear of running out of food, the lack of food variety, and stop eating healthy food. Nonetheless, other types such as people not eating for a day or not eating even when they are hungry were also prominent. In total, seven states out of 24 had a
food insecurity rate of 99 percent or higher, and only the states of Carabobo, Federal District, and Miranda registered rates lower than 90 percent.
Chronic inflation and higher prices
Another problem of the Venezuelan economy that heavily impacts consumers is hyperinflation. In 2018,
Venezuela had an inflation rate of over 65,000, when the
Latin American average was around 6.7. During the next few years, the inflation rate was lower but still reached three figures in 2023. Some of the
most impacted sectors in the most recent data were housing, home equipment, transport, and communications . There’s no escape in sight from the chronic inflation cycle in the country, with enterprises and people expecting prices to increase continuously, several international sanctions, and the lack of correct responses from the government. The cycle will continue to affect people and their capability of getting the necessary means to survive.
This text provides general information. Statista assumes no
liability for the information given being complete or correct.
Due to varying update cycles, statistics can display more up-to-date
data than referenced in the text.
