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UPDATE 1-Derivatives group ISDA to meet Friday over Venezuela's PDVSA credit event

event@ (New throughout, adds ISDA comment, background on PDVSA bond)

CARACAS, Nov 9 (Reuters) - Derivatives trade organization ISDA will on Friday consider a request by creditors of Venezuela's state oil company PDVSA to determine whether a credit event has occurred with respect to the delayed payment of its 2017N bond.

Such a determination could allow creditors to collect on derivatives known as credit default swaps, a form of insurance against default.

The International Swaps and Derivatives Association (ISDA) web site showed PDVSA was on its agenda for Friday at 11 a.m. EST (1600 GMT).

The full payment of $1.169 billion, which includes $1.121 billion in principal and $47 million in interest, was due on Nov. 2. Market sources said on Wednesday that PDVSA had transferred most of the funds to make the final payment on the 2017N, but investors had still not received the money by Thursday, adding to market anxiety over Venezuelan debt.

Since October, Venezuela and PDVSA have been skipping interest payments, invoking a 30-day grace period in an apparent effort to ease a cash crunch that has left the country desperately short of basic goods such as food and medicines.

President Nicolas Maduro said last week that the bond would be paid in full, but added that all future sovereign and PDVSA debt payments would be restructured and refinanced.

An ISDA spokeswoman said Friday's meeting may not be conclusive. "It is always possible that they will need more time to deliberate," said a spokeswoman, who asked not to be named, in an email to Reuters.

PDVSA did not immediately respond to an email seeking comment.

Venezuela and PDVSA bonds were mostly down in morning trading, though the PDVSA 2020 issue was up 3.5 points to bid 73.000. (Reporting by Corina Pons and Brian Ellsworth; Writing by Andrew Cawthorne; Editing by Chizu Nomiyama and David Gregorio)