Venezuela Pushes for Sanctions-Free Economic Zone

On May 14, Venezuela’s UN ambassador, Samuel Moncada, announced a notable new initiative aimed at achieving transactional freedom.

The country plans to propose the creation of a sanctions-free economic zone that aims to allow countries to conduct business without the crippling impact of sanctions.

“We are proposing an economic zone where such measures have no effect,” Moncada declared.

He described it as a zone of economic freedom where signatory countries would reject sanctions imposed by other nations, such as those from the U.S.

Venezuela presented this proposal during a meeting of the Group of Friends in Defense of the UN Charter.

The meeting took place in the capital city. Moncada hopes more than 50 countries will sign this agreement.

This would help counteract and protect against economic pressure, particularly from the United States.

“Imagine if Venezuela and Russia sign an agreement,” Moncada suggested. “We would not recognize the measures of England, France, or the United States.”

“We would have the freedom to conduct legitimate and legal business with each other.”

Since 2015, Venezuela has faced over 900 sanctions. These sanctions have led to a 99% reduction in revenue.

The Venezuelan government claims that sanctions have severely impacted the economy. They estimate losses exceeding $232 billion over the past decade.

Meanwhile, President Joe Biden’s administration made a significant decision on April 18. It chose not to renew the sanctions waiver for Venezuela’s oil and gas sector.

This decision cited concerns related to elections in the Latin American country. Additionally, on January 29, the U.S. revoked General License 43.

This license had authorized transactions involving Venezuela’s state gold mining company, Minerven.

The U.S. had granted this license in response to an agreement on presidential elections.

Venezuela Pushes for Sanctions-Free Economic Zone

In October 2023, the Venezuelan government and the opposition reached two partial agreements in Barbados.

These agreements included respecting the right of each political actor to freely select their candidate for the 2024 presidential elections.

This step was a move toward political stability and fair elections, though it was undermined by the Maduro administration’s efforts to suppress political competition.

Venezuela’s proposal for a sanctions-free economic zone seeks to reshape international economic relations without Western scrutiny.