PDVSA's Debt: A Growing Financial Challenge Amid Sanctions

The Venezuelan state oil company PDVSA's financial debt slightly increased to $34.58 billion last year. Blocked from the international financial system due to U.S. sanctions and facing unresolved debt defaults, PDVSA and its subsidiaries continue to struggle, with creditors seeking legal recourse in the U.S.

The Venezuelan state oil company PDVSA has reported a minor increase in its consolidated financial debt, which now stands at $34.58 billion, up from $34.46 billion in 2024. This information was revealed in a release published in a local Venezuelan newspaper.

Blocked from participating in the international financial system due to sanctions imposed by the United States, Venezuela and its state firms, including PDVSA, have faced significant financial challenges over the past decade. The U.S. actions, along with Venezuela's own payment delays, have resulted in multiple unresolved debt defaults, pushing creditors to seek redress through U.S. courts.

Notably, PDVSA's bonds, investment certificates, notes, and loans showed marginal fluctuation, with a standing balance of $29.47 billion compared to $29.33 billion the previous year, while the company's joint ventures' debt saw a decline to $1.22 billion from $1.24 billion. The financial obligations of PDVSA's subsidiaries remained unchanged.