Chavez admits global financial crisis could affect Venezuela

MEXICO CITY, November 13 (RIA Novosti) - Venezuelan President Hugo Chavez has admitted for the first time that the South American state could be affected by the global financial crisis, national media said on Thursday.

"The fall in oil prices due to the current global financial crisis may have a negative influence on the economy of Venezuela," Chavez told national television on Wednesday.

The Venezuelan leader had earlier said that the OPEC nation would survive the global credit crunch as its economy was one of most stable economies in the world.

"The world is on the brink of a catastrophe, and this catastrophe will affect everyone. One cannot hide from it, it will cover everyone like an ocean wave," Chavez said.

Chavez blamed free-market capitalism and the U.S. for the financial crisis, which has toppled Western banks and pushed developed economies toward recession.