Venezuela’s Toilet Paper Crisis Igniting Bond Sale Talk

Venezuelan Finance Minister Nelson Merentes is planning the nation’s first overseas meetings with creditors in nine years as a scarcity of dollars exacerbates shortages of everything from toilet paper to soap.

While Venezuela’s borrowing costs have fallen more than 400 basis points, or 4 percentage points, since its last sale of dollar-denominated bonds in October 2011, the 10.65 percent yield is double the average in emerging markets. Merentes said May 30 his trip to the U.S. and Europe this month is intended to clarify the fundamentals of the economy with investors to help lower the perceived risk in holding the oil producer’s debt.