Telefonica may be one of Venezuela's largest service providers, but a South American dollar shortage is hampering the telco's ability to repatriate profits. At first glance, Venezuela continues to be a promising growth engine for Telefonica, however the country's currency controls have hampered the telco's ability to repatriate about $2 billion in profits over the past three years.
South America has been a revenue haven for Telefonica at a time when it has seen constant revenue decreases in the cash-strapped European market. During the second quarter, Telefonica's local Venezuelan unit Telefónica Móviles Venezuela contributed 15 percent or $1.25 billion of the telco's total $8.12 billion revenue figure.
- Dow Jones/Wall Street Journal has this article
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