CARACAS, Feb 5 — Inflation reached almost 10,000 per cent in crisis-hit Venezuela in 2019, according to official government statistics, a figure well below the International Monetary Fund prediction of 200,000 per cent but still a source of grinding hardship.

Venezuela’s central bank said inflation was 9,585 per cent, slightly higher than the figure of 7,374 per cent published by the opposition-controlled parliament.

It comes during a year in which the bolivar was devalued by 98.6 per cent, effectively making the US dollar the currency of choice inside Venezuela.

The central bank had remained silent on the question of inflation for three years until May 2019 when it announced a figure of 130,000 per cent for 2018 and admitted that GDP had fallen by half since 2013.

Venezuela has suffered five years of recession and a crippling economic crisis that has decimated the value of salaries and savings, caused poverty to soar and more than four million people to leave the country.

President Nicolas Maduro blames Venezuela’s economic woes on a US oil embargo against the South American country.

Oil generates 96 per cent of Venezuela’s revenue but the country produces only 900,000 barrels a day compared with a high of 3.2 million just over a decade ago.

Maduro’s critics blame the government for mismanagement, heavy handed policies and a failure to maintain infrastructure for Venezuela’s falling oil output.

Blackouts are a regular occurrence in the country, particularly in western regions.

Venezuela is also in the midst of a political crisis with opposition leader Juan Guaido claiming to be acting president and supported by more than 50 countries. — AFP