Chavez says $80-$90 oil enough for Venezuela

CARACAS (Reuters) - Oil priced at $80-$90 a barrel is more than enough for Venezuela, President Hugo Chavez said on Saturday, days before an emergency OPEC meeting where the group is set to agree to cut supply to stem crashing prices.

OPEC typically avoids announcing a target price but members have been more vocal this month about the sort of range they consider acceptable, in a sign the group is prepared to take action to defend the value of oil.

Oil prices have plunged in recent weeks as a global credit crunch has spurred fears of recessions worldwide that would slash demand for oil. Prices reached record highs near $150 a barrel in July but fell to less than half that this week.

Chavez, a price hawk in OPEC, dismissed fears that reduced revenue from the lower price would prevent his government from funding his socialist programs such as food subsidies for the poor.

"Should the oil price stabilize between 80 and 90 dollars -- more than enough," he said as he toured government-financed railway infrastructure.

"In the face of the global crisis, I guarantee Venezuelans the country will not be held back ... Venezuela has enough social, financial and technological resources to march on with economic growth," he said.

Chavez said oil's price was not vital for Venezuela because it has large savings and foreign loans.

He has drafted a budget based on calculations the Venezuelan oil basket -- which is often $10 a barrel cheaper than high-grade crudes -- will average $60 a barrel next year.

Venezuela's economy minister Ali Rodriguez, who is a former OPEC president, said the group is likely to cut supply at its October 24 meeting.

OPEC's current president has said a cut will be of at least 1 million barrels a day.

(Reporting by Enrique Andres Pretel; Writing by Saul Hudson; Editing by Anthony Boadle)