Topic
Venezuelan political and economic crisis
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U.S. granted visa to oilman Alejandro Betancourt despite Swiss arrest request
Swiss prosecutors requested that the U.S. Justice Department arrest Alejandro Betancourt. Following this request, the United States granted Betancourt a multi-entry visa and permitted him to travel to the country.
Evangelical Pastors Support Nicaragua Constitutional Reform Bill
On 20 August, a group of Evangelical pastors and faith leaders at a National Assembly consultation in Managua publicly endorsed a proposed constitutional reform bill. The bill, promoted by co-presidents Daniel Ortega and Rosario Murillo, seeks to extend presidential terms to seven renewable years and constitutionally codify bans on candidates linked to 2018 protests or international sanctions. Participants, including Pastors Francisco Tinoco and Omar Duarte, framed the legislation as a guarantee of peace, stability, and development. The endorsement is significant because the evangelical sector has previously reported harassment and persecution by the same government authorities.
Analysis of the Trump Administration's Venezuela Policy
On January 3, the Trump administration conducted a military raid that resulted in the seizure and removal of Venezuelan leader Nicolas Maduro. While the operation successfully removed Maduro, the Chavista regime remained in power. The strategy ultimately replaced the public face of the government with Maduro's former subordinates.
Venezuela's National Assembly Rejects Economic Dollarization Plan
On 22 August 2026, Venezuela's National Assembly, led by president Jorge Rodríguez, removed opposition deputy Antonio Ecarri from his position as head of the Venezuela-United States parliamentary friendship group and launched an investigation against him. The move followed Ecarri’s public introduction of a dollarization plan drafted with economist Steve Hanke, which proposed abolishing the bolívar, closing the Central Bank of Venezuela, and adopting the U.S. dollar as the sole legal tender to combat annual inflation estimated between 354 and 400 percent. Rodríguez cited Article 318 of the constitution, which mandates the bolívar as the national currency, and accused Ecarri of violating internal parliamentary rules regarding diplomacy and constitutional integrity.
Venezuela reports narrowing exchange rate gap and increased oil output
On 24 August 2026, acting President Delcy Rodríguez reported that Venezuela’s oil production exceeded 1.23 million barrels per day, marking the highest level since February 2019. Rodríguez also stated that the gap between the official Banco Central de Venezuela exchange rate and the parallel market rate narrowed from approximately 30 percent to 12.3 percent over the previous two months. Additionally, the president of Consecomercio invited Colombian firms to manufacture goods within Venezuela to address the bilateral trade deficit and utilize idle industrial capacity. These claims followed reported growth of 21 consecutive quarters, though independent trackers noted earlier 2026 exchange rate gaps reached as high as 45 percent.
Bolivia Ends Diesel Subsidy for Large Consumers
On 17 August 2026, the Bolivian government issued Decreto Supremo 5676, which ended diesel subsidies for large consumers and increased their price per liter from approximately US$0.85 to US$1.56. While small producers consuming between 120 and 5,000 liters per month retain subsidized rates, YPFB President Sebastián Daroca characterized the hydrocarbons sector's financial imbalance as a structural crisis. Domestic liquid hydrocarbon production fell from 63,000 barrels per day in 2015 to 22,000 barrels per day, forcing the country to import 60 percent of its diesel and gasoline. President Rodrigo Paz subsequently launched a US$92.7 million municipal paving program designed to generate 73,000 jobs to mitigate broader economic pressures.
Venezuela Probes Opposition Deputy Over Dollarization Bill
On 22 August 2026, Venezuela’s National Assembly president Jorge Rodríguez announced an investigation into opposition deputy Antonio Ecarri for his promotion of a draft dollarization bill. Ecarri, who leads the Lápiz party, collaborated with US economist Steve Hanke to create a proposal that would abolish the bolívar in favor of the US dollar. Following the announcement, Rodríguez removed Ecarri from his position as head of the Venezuela–US Parliamentary Friendship Group, citing 'irresponsible actions' that allegedly violated the constitutional status of the bolívar under Article 318. As of 24 August, Ecarri maintained that the collaboration was a personal initiative and stated he had not received formal notification of the legislative probe.
Venezuela Reports Oil Production Reached 1.23 Million Barrels Per Day
On 24 August 2026, Venezuela’s interim government announced that domestic oil production exceeded 1.23 million barrels per day, marking the highest output level reported since February 2019. Vice-President Delcy Rodríguez attributed this progress to approximately 50 strategic oil and gas agreements signed since January 2026, which aim to facilitate development across more than 76 hydrocarbon areas. While the government did not release detailed technical data to verify the figure, official claims align closely with mid-August 2026 reports from both U.S. Energy Under Secretary Kyle Haustveit and the analytical firm VeneEconomist.
Rescuers continue search for victims following earthquake in Venezuela
On June 24, two earthquakes measuring 7.2 and 7.5 in magnitude struck the coastal state of La Guaira, Venezuela, causing the collapse of residential buildings and resulting in over 6,500 deaths. Two months later, volunteer rescuer Domingo Pacheco and the Unified Rescue Group of Venezuela (GRUV) continued efforts to recover victims from the rubble. While the group has recovered 56 bodies and rescued 21 people alive, the total number of missing persons remained unknown as recovery operations proceeded under physically challenging conditions.
US allows investment in Venezuela's telecoms, excludes Chinese companies
The U.S. Treasury Department’s Office of Foreign Assets Control issued two general licenses easing sanctions on Venezuela’s telecommunications sector, including state-owned provider CANTV and mobile operator Movilnet. These licenses explicitly prohibit transactions involving entities or individuals from China, Russia, Iran, North Korea, and Cuba. This policy shift created an opening for Western suppliers to engage with Venezuela as the country expands its 5G network infrastructure. The measure followed a pattern established in previous sanctions easing regarding the Venezuelan oil sector, which also excluded China-linked entities.
Economist Steve Hanke Drafts Proposal to Dollarize Venezuela
On 20 August 2026, economist Steve Hanke and Venezuelan deputy Antonio Ecarri drafted a legislative proposal to replace the bolívar with the US dollar and abolish the Banco Central de Venezuela. The bill aimed to curb the government’s ability to print money and set interest rates in response to the bolívar's long-term instability. Although Hanke served as a special adviser to a National Assembly leader, the government in Caracas had not endorsed the draft or established a legislative timeline for its adoption. The proposal emerged as the economy showed signs of recovery, with the government reporting 7.14% GDP growth for the second quarter of 2026.
Heavy rains cause flooding and infrastructure disruptions in Venezuela
On August 23, 2026, severe flooding caused by Tropical Wave No. 40 struck Caracas and neighboring regions, with the capital receiving over two months' worth of precipitation in 45 minutes. The surge caused the Guaire River to overflow, stranded 60 to 70 vehicles on the Valle-Coche highway, and resulted in at least one fatality and six missing individuals. Acting President Delcy Rodríguez activated the national Civil Protection system to manage search and rescue operations, which included the rescue of approximately 100 trapped people. This disaster impacted a region still in the recovery phase following two major earthquakes two months prior that resulted in 6,438 deaths and rendered over 10,000 homes high-risk.
Six Missing and 150 Homes Affected After Rains in Venezuela
Tropical wave 40 triggered heavy rains, flooding, and landslides across Venezuela on 22 August 2026, impacting the capital of Caracas as well as the states of Miranda, Aragua, and Anzoátegui. At least six people were reported missing, including Keylin Quintero González and her son Keiber Quintero, while more than 150 homes sustained damage nationwide. Venezuela's weather institute, INAMEH, stated that the city's geographical location in a narrow valley exacerbated the impact of the heavy runoff from surrounding hillsides.
Venezuela’s PDVSA Reports 89% Increase in Oil Revenue
Venezuelan state oil company PDVSA reportedly billed US$15.9 billion in revenue between January and July 2026, marking an 89% increase compared to the same period in 2025. These figures, which were sourced from local press reports rather than official company statements, represented invoiced amounts rather than realized cash collections. The United States accounted for more than half of this billed revenue, while India emerged as a significant buyer, importing approximately 319,200 to 427,000 barrels per day depending on the reporting source.
12,500 people remain in temporary camps two months after Venezuela earthquakes
Two months after earthquakes occurred in La Guaira, Venezuela, 12,500 people remained in temporary camps. The ongoing displacement followed the seismic events that prompted the establishment of these shelters. France 24 reported on the situation as of August 23, 2026.
Flooding reported in Caracas following heavy rainfall
Heavy rainfall in Caracas, Venezuela, triggered flooding after the El Valle River overflowed on 23 August 2026. The rising water submerged sections of a major highway and surrounding areas, resulting in damaged power lines and trees. Authorities deployed emergency teams to assist as the floods stranded motorists.
National Airlines Receives US Approval for Flights to Venezuela
On 30 July 2026, the US Department of Transportation granted National Airlines an economic exemption to operate scheduled passenger, cargo, and mail flights between the United States and Venezuela. This authorization, valid through 30 July 2028, serves as the first step in restoring air links that were under a blanket suspension from May 2019 until January 2026. National Airlines initially intends to utilize this authority to conduct humanitarian relief flights carrying aid and supplies. The resumption of service occurs as Simón Bolívar International Airport prepares for a partial reopening on 24 August 2026 at 35-40% capacity following earthquake damage in June 2026.
Mukumbarí Cable Car in Mérida Reopens for Holiday Season
The Mukumbarí cable car in Mérida, Venezuela, resumed operations on Wednesday, 19 August 2026, following a suspension that began in late May. Tourism minister Daniella Cabello announced the reopening, which restored access to all five stations from the Barinitas base to Pico Espejo. The system, recognized as one of the highest and longest in the world, had been closed due to maintenance requirements and disruptions caused by earthquakes on 24 June 2026.
Water shortages affect 3.5 million people in Cuba amid oil crisis
Water shortages impacted 3.5 million people in Cuba as the country faced an ongoing oil crisis. The situation was reported on August 21, 2026, by France 24. These combined factors created significant challenges for the population regarding basic resource accessibility.
Venezuela's Oil Minister Signs Agreements with SLB and Hunt Oil in Houston
On 18 and 19 August, Venezuelan Oil Minister Paula Henao visited Houston to sign two agreements with American companies aimed at increasing production in the country’s oil sector. The agreements included a hydrocarbons production participation contract with Hunt Oil for two oil fields and a framework agreement with SLB for integrated reservoir studies. During the Venezuela Energy Week Houston Showcase, Henao invited investors to evaluate opportunities in Venezuela, emphasizing legal security. These modest, technical contracts follow Chevron's 31 July announcement that it expects to increase output across its Venezuelan joint ventures by 50% to approximately 420,000 barrels a day by the end of 2028.
Venezuela's Opposition Explores Potential Paths to Power
Following the removal of Nicolás Maduro, the Venezuelan opposition, led by María Corina Machado, expected a direct path to power, but the Trump administration instead chose to engage with Maduro’s former deputy, Delcy Rodríguez. While the opposition remains sidelined from initial White House-backed talks, these negotiations have resulted in an agreement to replace the Supreme Court and establish working groups on democratic institutions and earthquake reconstruction. Although Rodríguez continues to govern beyond her initial 180-day mandate, the opposition views this U.S.-led pressure as a potential mechanism to dismantle the remnants of the Bolivarian revolution through institutional liberalization.
Venezuela Signs US Oil Deals as Half Its Crude Heads North
Venezuelan hydrocarbons minister Paula Henao announced new energy agreements with US-based firms Hunt Oil and SLB, involving production contracts for onshore fields and reservoir studies. Concurrently, a US energy official stated that over 500,000 barrels of Venezuelan crude per day—roughly half of the country's total output of 1.25 million barrels—are currently being exported to American refineries. While the Central Bank of Venezuela reported a 7.14 percent year-on-year economic growth for the second quarter of 2025, these figures remain unverifiable by independent sources. The resumed oil trade follows the issuance of US sanctions licenses, leveraging the specific refining capacity of the US Gulf Coast for heavy Venezuelan crude.
US refineries processing 500,000 barrels of Venezuelan oil daily
US Under Secretary of Energy Kyle Haustveit reported that Venezuela is currently exporting 500,000 barrels per day (bpd) of oil to US Gulf Coast refineries, a significant increase from the 135,000 bpd exported at the end of 2025. This trade dynamic followed the removal of President Nicolas Maduro and the installation of an interim government in Caracas by Washington. The US is also supplying Venezuela with 100,000 bpd of naphtha to assist in blending the nation’s heavy, sour crude. While the administration claimed these arrangements benefit both nations, the Council on Foreign Relations noted that the US has not publicly disclosed the full details regarding revenue collection or the specific allocation of funds generated from these oil sales.
Ex-IMF official says placing Venezuelan gold under US control sets poor precedent
Former IMF Executive Director Paulo Nogueira Batista Jr. criticized a proposal to place 31 tons of Venezuelan gold, currently held by the Bank of England, under US Treasury control to fund earthquake reconstruction. While the Venezuelan government and opposition reached a joint agreement to seek the repatriation of the $4 billion in assets, the proposed structure involves depositing the funds in US accounts subject to independent audits. This development follows a January 3 US operation that captured former President Nicolas Maduro and led to Washington taking control of Venezuelan export revenues. Batista characterized the arrangement as a colonial relationship that would allow the US to micromanage the spending of Venezuelan wealth.
Venezuela Annual Inflation Reaches 580% in July 2026
Venezuela's annual inflation rate reached 579.96% in July 2026, marking the highest rate in Latin America and significantly outpacing Argentina's 34% rate. According to the Central Bank of Venezuela (BCV), consumer prices surged by 19.9% in July alone, resulting in an accumulated inflation of 175.5% for the first seven months of the year. This economic instability persisted as the country continued to experience seismic activity following twin earthquakes of magnitude 7.2 and 7.5 that struck on 24 June 2026. In response to the economic climate, a new housing rental law took effect on 7 August 2026, permitting the free setting of rents and the use of foreign currency for payments.
Venezuela Supermarket Sales Rise 21% Amid 580% Inflation
Venezuelan supermarket unit sales grew 21% between January and July 2026, even as annual inflation reached 580% according to central bank data. President Italo Atencio of the supermarket association ANSA provided the sales figures, while Vice President Delcy Rodríguez reported a separate 9.6% increase in national food consumption. Meanwhile, despite localized drought-driven corn crop losses of 70% on 2,500 hectares, national planting remained largely intact at 325,000 hectares. Additionally, reports emerged that businessman Alejandro Betancourt is allegedly advising the U.S. government on identifying energy assets and operational bottlenecks within Venezuela's oil sector.
Venezuela earthquake death toll rises to 6,438
Twin earthquakes measuring 7.2 and 7.5 in magnitude struck near the Venezuelan coast on June 24, resulting in a confirmed death toll of 6,438 as of August 17. Parliament Speaker Jorge Rodriguez reported that the disaster damaged 60,000 homes, rendered 24,000 dwellings uninhabitable, and collapsed at least 190 buildings. While Interim President Delcy Rodriguez’s government pledged to provide 4,000 new homes by the end of 2026, only 335 units have been made available thus far.
Venezuela Enacts 60-Day State of Economic Emergency
On 8 August 2026, acting president Delcy Rodriguez signed Decree 5.414, declaring a 60-day state of economic emergency across Venezuela. The Supreme Court's Constitutional Chamber validated the decree on 11 August, granting the executive branch authority over taxes, budgets, and public procurement without a recorded vote from the National Assembly. Legal watchdog Acceso a la Justicia identified this as the fifth such decree since April 2025, noting that the country has remained under a state of exception for approximately a year and a half, exceeding constitutional limits. While government officials reported 21 quarters of economic growth and increased food consumption, independent forecasts projected 2026 inflation between 200% and 387%.
PDVSA Refining Capacity Remains at One-Third Amid Recovering Venezuelan Crude Output
As of April 2026, Venezuelan state oil company PDVSA operated its refineries at roughly 31% of their 1.29 million barrels per day (bpd) nameplate capacity, processing approximately 399,000 bpd. While crude production recovered to roughly 1.1 million bpd—the highest level since 2019—the refining infrastructure remained degraded due to years of missed maintenance, loss of skilled labor, and reduced investment. US sanctions imposed in 2019 further hindered the system by restricting access to necessary parts and capital, preventing the company from matching its processing throughput to its rising crude output.
Delcy Rodriguez’s Castro tribute draws rebuke from US official
Venezuelan interim President Delcy Rodriguez praised late Cuban leader Fidel Castro as a figure who 'transcends time' during events marking his centenary. US Secretary of State Marco Rubio criticized the tribute, labeling Castro a failure who destroyed his country and mistreated his people. Simultaneously, Chinese President Xi Jinping commemorated the centenary by highlighting Castro's role in establishing relations between Beijing and Havana. The exchange occurred amid ongoing political tensions regarding Caracas’ rapprochement with Washington and China’s efforts to maintain its economic interests in Venezuela.
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