The United States has announced its decision to ease sanctions on Venezuela after the government and opposition agreed to hold elections next year. Sanctions on Venezuela’s oil, gas, and gold sectors will be lifted, while other sanctions related to the suppression of protests and democratic erosion remain in place. This relaxation of sanctions comes as part of an electoral pact signed between the Venezuelan government and opposition, which includes the invitation of international observers to monitor the upcoming elections.
The new general license issued by the US treasury department permits Venezuela to produce and export oil to its chosen markets for the next six months. However, the relaxation in sanctions is accompanied by a warning that it could be reversed if the electoral pact collapses. Secretary of State Antony Blinken emphasized the need for Venezuela to define a specific timeline and process for the reinstatement of all candidates, calling for equal opportunities for all presidential hopefuls.
The agreement signed in Barbados contains multiple points aimed at ensuring a fair electoral process. It promises access to public and private media for all candidates, as well as the guarantee of free and safe movement throughout the country. Efforts to update voter registries, including those outside of Venezuela, aim to enable millions of emigrated Venezuelans to exercise their right to vote. However, it should be noted that the agreement also allows for the exclusion of certain candidates under Venezuelan law, potentially impacting opposition frontrunner MarÃa Corina Machado.
During the administration of Donald Trump, harsh sanctions were imposed on Venezuela as a response to President Nicolás Maduro’s re-election in 2018, which the US deemed illegitimate. However, under President Joe Biden, there has been a shift towards engagement and the improvement of relations between the two countries. The US has a vested interest in resolving the crisis in Venezuela, as the country’s economic decline has led to approximately seven million Venezuelans emigrating, with many seeking refuge in the US.
This easing of sanctions is expected to have significant consequences for both Venezuela and the US. As Venezuela possesses the world’s largest proven oil reserves, the scaling back of US sanctions on Venezuela’s oil industry will benefit both countries economically. Rebuilding the Venezuelan economy and stabilizing the political situation is crucial to tackling the ongoing crisis and addressing the challenges faced by the Venezuelan people. The success and sustainability of this electoral pact will determine the future trajectory of Venezuela and its relationship with the international community.
