Venezuelans flee to Brazil, in spite of attacks

The number of Venezuelans entering Brazil increases, say officials, despite Saturday, the attacks on temporary migrants-border-camps.

A Brazilian army spokesman said about 900 Venezuelans were expected in the state of Roraima, on Monday, a steep increase in the daily average.

The numbers of people who try to escape, Venezuela economic collapse, stoking regional tensions.

There is fresh uncertainty after the issue of new banknotes.

Banks and shops are due to open on Tuesday after a holiday on Monday, when the left-wing government lopped five zeroes from the bolívar and anchored it in a new virtual currency called the petro.

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How did we get here?

The government says the move is necessary to tackle galloping inflation, but critics say it could be even more chaos.

Opposition groups have called for strikes and protests on Tuesday.What is happening in Brazil?

Additional security forces were on the border with Venezuela, following violence near the city of Pacaraima, on Saturday.

The Roraima has called on the state government, the Supreme Court, to temporarily suspend the entry of migrants from Venezuela to stop, overwhelmed social services.

However, Brazilian security Minister Sergio Etchegoyen said the border closure was “unthinkable because it is illegal”.

He said the presence of military police at the border had improved the situation.

“There are tensions, but there is no conflict,” he added.

Reuters

Many of these crossroads in Brazil tell you that you are hungry and have no access to medical services in Venezuela.

The army said that on Sunday about 800 Venezuelan migrants arrived in Roraima, about 300 more than the average number of crossing every day for almost a year.

In Pacaraima, on Saturday, several immigrants bearing of the disgruntled residents following reports that a local restaurant owner was severely beaten by the Venezuelans were attacked.

Hundreds of migrants have fled back across the border and gangs, the men burned their camps and their belongings. Reports on Monday said that many had since crossing back into Brazil.

It is growing aversion to the numbers of Venezuelans input of Roraima in the last few months.

Simmering tensions boil over

Julia Carneiro, the BBC News, Pacaraima

Where else can the Venezuelans heading?

Other countries in the region, including Colombia, Ecuador and Peru say they are struggling to deal with the influx of Venezuelan immigrants.

Hundreds of thousands have made the trip in Colombia and Ecuador, and many are heading South to Peru or Chile.

On Saturday, Ecuador’s new entry introduced restrictions, leaving hundreds of migrants stranded on the Colombian side of the border.

In the midst of the confusion, some desperate Venezuelans of the new rules defied, and unguarded railroad crossings, but correspondents say they now face fines for the access to the country illegally.

In the last three years, around 3,000 Venezuelans Colombia have entered every day and the country has granted temporary residence permits to more than 800,000.

In Peru, says that last week alone, with 20,000 Venezuelans in the country.What happens with the currency?

The International monetary Fund had predicted that inflation could reach in Venezuela, one million percent this year. According to a recent study by the opposition-controlled national Assembly, the prices were every 26 days on average doubled.

From Monday, new banknotes, the “sovereign Bolivar” are legal tender. But as it was declared to be a holiday, the attention is now directed to the fact, such as shops and banks respond when the drastic measures come into force on Tuesday.

The move is practically a redenomination. President Nicolás Maduro, an average of five zeros from the old currency – the “strong Bolivar” – and gave him his new name.

Eight new Bank notes, and two new coins will be put into circulation. The new banknotes have a value of 2, 5, 10, 20, 50, 100, 200 and 500 sovereign bolivars.

Most of the old bolivar notes will continue to circulate “for a time”, the Venezuelan Central announced Bank President Calixto Ortega. Only the deepest notes of less value than 1,000 strong Bolivar, will expire immediately.The new currency will stop the inflation?

The government hopes that the new economy is not only the containment of the country, the hyperinflation, but also an end to the “economic war”, which it says was waged against him by the “imperialist forces”.

It says the introduction of the new currency, accompanied important measures to help Venezuela, the battered economy recover. Among them are:
Raising the minimum wage to 34 times to your level by 1. September
The anchoring of the sovereign bolivar, petro, a virtual currency, which the government says, with Venezuela’s oil reserves
Curbing Venezuela’s generous fuel subsidies for those who are not in possession of a “country-ID”
The increase in the VAT rate from 4% to 16%

President Maduro has [in Spanish] that his government would install a “dismantling of neoliberal capitalism perverted the war, a positive, balanced, sustainable, healthy and productive economic system”.

But economists have warned that the new measures do not treat the causes of inflation in Venezuela and the printing of new Bank notes could exacerbate inflation, rather than reduce.

They say that the increase in minimum wages, only inflation will be faster. Some analysts estimate that the benefits of the new currency could be wiped out by hyperinflation “within months”.