Venezuela top court says central bank can borrow without Congress approval

Venezuela's top court has ruled that the country's central bank does not need congressional approval to seek a loan from a multilateral agency to shore up the OPEC nation's flagging international reserves.

The ruling paves the way for the government of President Nicolas Maduro to borrow from the Latin American Reserves Fund, part of the Andean Community without discussing the issues with the opposition-dominated legislature.

Local media has reported that Venezuela is seeking a $1 billion loan from the group known as FLAR to boost international reserves, which have fallen to their lowest level in nearly 14 years on low oil prices and a prolonged economic crisis.