Venezuela is in hot water with one of its close friends. The Ecuadorian airlines company Tame has suspended flights to its fellow Bolivarians up north, finally putting its foot down over $43 million worth of unpaid plane tickets. The BBC reports:
Tame says the Venezuelan Central Bank has not transferred any money to its account in Ecuador since April 2013.Tough foreign currency controls make it difficult for foreign airlines to repatriate money obtained from ticket sales in Venezuela.
The Venezuelan government has generously offered to pay for some of the debt using cash, bonds, and fuel. However, it appears Tame prefers to be paid in full, and with real money.This isn’t a very Bolivarian thing to do, but Venezuela, the country with the largest oil reserves in the world, has so wrecked its economy with socialist quackery that it can’t transfer the funds for air travel tickets to foreign airlines. And it’s not just in Quito that companies are awaiting Venezuelan checks. Maduro’s government is estimated to owe more than $3 billion to various airline companies.Since Ecuador, like Venezuela, is running its economy into the ground as quickly as possible, it has no spare cash to keep the flights going and therefore must suspend its air travel to Venezuela. The world will probably roll on just fine in the meantime—except for the celebrity dolts and political hacks who want to attend Venezuelan conferences on 21st-century socialism and alternative political models.