Trade Body ISDA Says Venezuela Energy Giant Defaulted on Debts

The International Swaps and Derivatives Association (ISDA), a trade organization, declared Petroleos de Venezuela, S.A (PDVSA) on Thursday in default of its debts.

MEXICO CITY (Sputnik) — The New York-based International Swaps and Derivatives Association "resolved that a Failure to Pay Credit Event had occurred" with respect to the Venezuela's state energy giant PDVSA.

PDVSA has fallen behind on payments it owed on bonds that were to mature in 2027. The payment was due last Sunday before the 30-day deadline expired Monday for late payments.

The Venezuelan government has not commented on the ISDA decision. President Nicolas Maduro has estimated the impoverished country’s total debt, including that of PDVSA, at close to $150 billion.

Earlier PDVSA said that Venezuela started refinancing its external debt on Monday, citing Venezuelan Communications Minister Jorge Rodriguez.

On Sunday, the country's President Nicolas Maduro dismissed the possibility of a default, adding that Venezuela would instead work on refinancing and restructuring its foreign debt.

Venezuela, a leading oil producer, has been in a precarious economic situation for years, aggravated by a global fall in oil prices.