The December 2015 political elections ushered a change in institutional structures. Even if forecasts are difficult at this stage, the new political situation could translate into a range of economic reforms aimed at reactivating the national industrial infrastructure and at increasing the production of goods and services in order to reduce reliance on imports.
Salini Impregilo shall continue the works planned for existing contracts in Venezuela with the objective of fulfilling the commitments with Clients.
The table below shows quantitative values for the main projects in the portfolio at December 31, 2015:
(Figures in € million)
|Group residual portfolio||Percentage of completion|
|Puerto Cabello - Contuy Ferrocarriles stations||450.0||16.3%|
|Porto Cabello Sistema Integral||316.3||-|
|Ferrovia San Juan de Los Morros||287.5||47.0%|
|Puerto Cabello - Contuy Ferrocarriles||224.0||83.7%|
The most advanced project is the P. Cabello railway project, whilst maintenance work will continue on the two Guarico railway sites until rescheduling with the Client shall be agreed.
With respect to the Tocoma hydroelectric project, the commissioning of the first turbine is planned for November 2016.
A significant rise of inflation is forecast for 2016, with a resulting slump in consumption. The ongoing political-economic uncertainty and oil price trends will have a negative impact also in 2016.
Considering this backdrop, it is difficult to have a clear idea of the commercial initiatives to be pursued, at least until the country’s economic situation becomes more stable and certain.