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| Version 0 | Version 1 |
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| Chavez cuts budget over oil price | Chavez cuts budget over oil price |
| (about 3 hours later) | |
| Venezuelan President Hugo Chavez has unveiled a series of measures to offset falling oil revenues that account for about 50% of the national budget. | Venezuelan President Hugo Chavez has unveiled a series of measures to offset falling oil revenues that account for about 50% of the national budget. |
| He proposed to cut the 2009 budget by 6.7% and increase sales taxes. | He proposed to cut the 2009 budget by 6.7% and increase sales taxes. |
| Mr Chavez also pledged salary cuts for senior public officials, but a 20% rise in the minimum wage. | Mr Chavez also pledged salary cuts for senior public officials, but a 20% rise in the minimum wage. |
| His announcement came shortly after the government had sent army to take control of the country's key airports and sea ports. | His announcement came shortly after the government had sent army to take control of the country's key airports and sea ports. |
| The government says the move - which was rubber-stamped by parliament a week ago - centralises the running of the country's main transport hubs. | The government says the move - which was rubber-stamped by parliament a week ago - centralises the running of the country's main transport hubs. |
| Opponents say the move is unconstitutional, accusing Mr Chavez of consolidating power. | Opponents say the move is unconstitutional, accusing Mr Chavez of consolidating power. |
| Government spending cuts | Government spending cuts |
| In a televised address on Saturday, President Chavez said that the revised 2009 budget would be based on oil prices at $40 (£28) a barrel, not a $60-a-barrel forecast when the budget was drafted. | In a televised address on Saturday, President Chavez said that the revised 2009 budget would be based on oil prices at $40 (£28) a barrel, not a $60-a-barrel forecast when the budget was drafted. |
| We are preparing a decree to eliminate luxury costs - the acquiring of executive vehicles, redecorating, real estate, new headquarters, promotional material and unnecessary publicity, corporate gifts Venezuelan President Hugo Chavez Venezuelan military seizes ports | We are preparing a decree to eliminate luxury costs - the acquiring of executive vehicles, redecorating, real estate, new headquarters, promotional material and unnecessary publicity, corporate gifts Venezuelan President Hugo Chavez Venezuelan military seizes ports |
| "The budget is reduced by 6.7%... which is 11bn Bolivars ($5bn; £3.5bn)," Mr Chavez said. | "The budget is reduced by 6.7%... which is 11bn Bolivars ($5bn; £3.5bn)," Mr Chavez said. |
| He said the government now expected an income of about $72bn (£50bn). | He said the government now expected an income of about $72bn (£50bn). |
| Mr Chavez also pledged to trim salaries for high-level public officials to help balance the books. | Mr Chavez also pledged to trim salaries for high-level public officials to help balance the books. |
| "We are preparing a decree to eliminate luxury costs - the acquiring of executive vehicles, redecorating, real estate, new headquarters, promotional material and unnecessary publicity, corporate gifts." | "We are preparing a decree to eliminate luxury costs - the acquiring of executive vehicles, redecorating, real estate, new headquarters, promotional material and unnecessary publicity, corporate gifts." |
| But he vowed to raise the minimum wage by 20%, as the collapse in oil prices threatened his high spending social programmes that had made him popular amid the poor majority. | But he vowed to raise the minimum wage by 20%, as the collapse in oil prices threatened his high spending social programmes that had made him popular amid the poor majority. |
| President Chavez said the economy was in good shape to weather the storm it was facing. | President Chavez said the economy was in good shape to weather the storm it was facing. |
| But one opposition leader called the package of reforms a "smokescreen", designed to hide deeper problems in Venezuela's oil-dependent economy. | But one opposition leader called the package of reforms a "smokescreen", designed to hide deeper problems in Venezuela's oil-dependent economy. |
| Mr Chavez's proposals are expected to be easily approved by the congress, which is dominated by presidential loyalists. | Mr Chavez's proposals are expected to be easily approved by the congress, which is dominated by presidential loyalists. |