Venezuela, Cuba drop oil-for-goods-and-services pact
CARACAS, Venezuela -- (AP) -- Venezuela and Cuba are dropping
a pact that allowed Cuba to pay for some of its Venezuelan oil imports
with goods and services, a
Cuban diplomat said.
Venezuela will now pay in cash for Cuban agricultural goods and
for services in sports and tourism, Cuban ambassador German Sanchez said
in an interview published in
Monday's El Universal newspaper.
Under a pact signed last year, Venezuela had been allowed to pay
for such services with an unspecified amount of oil. Sanchez said the system
because it was ``too complicated.''
He said the decision was made when Cuban President Fidel Castro
visited Venezuela last month. Cuban embassy officials were not immediately
available for additional
Another deal, which still stands, requires Venezuela to sell 53,000
barrels a day of oil to Cuba under preferential financial conditions. Cuba
has 15 years to pay with a 2
percent interest rate. Venezuela has signed similar pacts with other Central American and Caribbean nations.
Sanchez said Venezuela owes Cuba between dlrs 10 and 12 million for goods and services. Cuba has exported sugar and sent dozens of sports trainers to Venezuela.