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Venezuela Discloses $240 Billion Debt for World’s Largest Restructuring

U.S. authorizations plus a designated lead adviser position Caracas to seek creditor buy-in to attract foreign investment for oil‑sector recovery.

Overview

  • Venezuela disclosed a roughly $240 billion restructuring universe that centers on $150 billion to $170 billion of external sovereign and PDVSA‑linked obligations, a figure the government revealed in mid‑May.
  • The government named Centerview Partners as lead financial adviser in mid‑June to steer negotiations and prepare a viability plan and debt sustainability analysis for creditors.
  • The U.S. Treasury has issued authorizations, including General License 58, to allow U.S.‑aligned advisers to work on the process without a full sanctions lift.
  • Creditors are a mixed group of bilateral lenders such as China and Russia, distressed bondholders, and parties pressing legal claims on assets abroad with Citgo the most prominent contested asset.
  • The plan excludes Venezuela’s state crypto token the Petro, and a successful restructuring that resolves legal and sanctions hurdles would be needed to attract foreign investment to help revive oil production and ease citizens' economic strain.