Venezuelan Daily Brief

Published in association with The DVA Group and The Selinger Group, the Venezuelan Daily Brief provides bi-weekly summaries of key news items affecting bulk commodities and the general business environment in Venezuela.

Thursday, March 21, 2019

March 08, 2019


Oil & Energy

Venezuela restores electricity to some parts of Caracas: state television

Venezuela has restored electricity to some parts of the capital of Caracas, state television said on Friday, following a major blackout on Thursday that knocked out service in much of the struggling OPEC nation. (Reuters, https://www.reuters.com/article/us-venezuela-politics-blackout-caracas/venezuela-restores-electricity-to-some-parts-of-caracas-state-television-idUSKCN1QP1ZV)

 

Venezuela grinds to a halt as blackout drags into a second day

Venezuela shut schools and suspended the workday on Friday as the worst blackout in decades paralyzed most of the troubled nation for a second day, spurring outrage among citizens already suffering from hyperinflation and a crippling recession.

Power went out late on Thursday afternoon due to a problem at Venezuela’s main hydroelectric plant, the government said, calling the event an act of “sabotage” by ideological adversaries.

“We will once again defeat this electrical sabotage. We are going to recover this important service for the population,” Vice President Delcy Rodriguez said in comments broadcast over state television.

While blackouts are routine in many Venezuelan provinces, particularly along the western border with Colombia, nationwide power outages under the ruling Socialist Party have never extended for more than a day.

“This is a severe problem. It is not just any blackout,” said Luis Martinez, a 53-year-old construction worker walking to work in eastern Caracas.

SABOTAGE

President Nicolas Maduro always attributes major power outages to sabotage by opposition adversaries.

Maduro, who was re-elected last year in a vote widely viewed as fraudulent, blames the crisis on a U.S.-backed sabotage campaign.

His critics say his government has mismanaged the power sector since late socialist leader Hugo Chavez nationalized it in 2007 while setting aside billions of dollars for power projects that were swallowed by corruption.

Opposition leader Juan Guaido slammed the government for bungling the country’s energy supply and dismissed sabotage accusations.

“Sabotage is stealing money from Venezuelans. Sabotage is burning food and medicine. Sabotage is stealing elections,” he wrote via Twitter, referring to humanitarian aid trucks that went up in flames last month when opposition leaders attempted to bring relief supplies across the Colombian border.

More than 3 million people are believed to have fled Venezuela amid a deep economic crisis marked by shortages of food and medicine and hyperinflation. (Reuters, https://www.reuters.com/article/us-venezuela-blackout/venezuela-grinds-to-a-halt-as-blackout-drags-into-a-second-day-idUSKCN1QP1AL)

 

PDVSA declares emergency as tankers returning

Plans by the German operator of a portion of the Venezuelan state oil company’s tanker fleet to return 10 vessels because of unpaid fees prompted a unit of state-run PDVSA on Tuesday to declare a maritime emergency, according to a document from the state-run firm and sources. PDVSA’s weak finances, the result of mismanagement, a sharp decline in oil output and U.S. sanctions designed to oust President Nicolas Maduro, have prompted dozens of suppliers and partners to stop working for the company. PDVSA’s maritime arm, PDV Marina, lacks about 160 people, including captains, machinists and operators, to immediately take back the 10 vessels from Bernhard Schulte Shipmanagement (BSM), according to a notification by PDV Marina’s security department that was viewed by Reuters. BSM officially notified PDV Marina’s top authorities of its “unilateral decision to deliver the fleet operated by the company due to lack of payment and cash flow for paying pending salaries and staff onboard,” putting PDVSA in a “critical situation to receive the tanker fleet,” the document said. BSM last month confirmed its crews would abandon PDVSA vessels Rio Arauca and Parnaso, held in Portugal due to unpaid fees to several companies. A third vessel operated by BSM, the Icaro, was seized in Curacao by a group of shipping companies claiming unpaid bills from PDVSA. BSM operated a fleet of 13 tankers owned by PDVSA and two very large crude carriers jointly owned by PDVSA and China’s PetroChina. The amount owed by PDV Marina to BSM is at least $15 million, according to a source at the company and a document seen by Reuters. Over a dozen tankers with Venezuelan oil around the world have been arrested in recent years by authorities or otherwise prevented from leaving because PDVSA has not paid for services. (Reuters: https://www.reuters.com/article/us-venezuela-politics-tanker/venezuelas-pdvsa-declares-emergency-as-tankers-returning-document-idUSKCN1QN2J3)

 

Gas scarcity could turn Venezuela's crisis to catastrophe

Waiting hours to fill up is the high cost one pays for gasoline that's nearly free in socialist Venezuela. Lines stretching a mile (1.6 kilometers) or more to fuel up have plagued the western region of Venezuela for years — despite the country's status as holder of the world's largest oil reserves. Now, shortages threaten to spread countrywide as supplies of petrol become even scarcer amid a raging struggle over political control of Venezuela. The Trump administration hit Venezuela's state-run oil firm PDVSA with sanctions in late January in a sweeping strategy aimed at forcing President Nicolas Maduro from power in favor of opposition leader Juan Guaidó. Doomsday predictions immediately followed — mostly fueled by Maduro's opponents and U.S. officials — that Venezuela's domestic gasoline supplies would last no more than a week or so. That hasn't happened yet, but more misery is feared as expected shortages have economic implications far beyond longer gas lines, turning Venezuela's crisis to a catastrophe. Ixchel Castro, a Mexico City-based analyst at the Wood Mackenzie energy research firm, said Venezuela's domestic gasoline supply has been down by as much as 15% in recent years as the country's refineries and infrastructure fail — a trend that is expected to accelerate. PDVSA provided 160,000 barrels a day for domestic use last year, but with the U.S. sanctions and ongoing infrastructure challenges, that supply can be expected to fall to 60,000 barrels a day, she said, meeting just 38% of the country's needs. Exacerbating the problem are shortages of diluent, a critical product needed to thin Venezuela's tar-like heavy crude so it can be piped over 100 miles (160 kilometers) from the field to be turned into gasoline. Russia has stepped in, sending two tankers of the thinner, but these supplies will last just five to 10 days. Gasoline won't completely dry up in Venezuela, which still has access to waning domestic production, as well as fuel in storage and shipments from India and European countries that aren't subject to sanctions. But the fuel quality will suffer and there will be shortages, Castro said. (VOA: https://www.voanews.com/a/gas-scarcity-could-turn-venezuela-s-crisis-to-catastrophe/4816315.html)

 

Oil edges up on Venezuela and Iran sanctions, OPEC supply cuts

Oil prices rose on Thursday on the back of ongoing OPEC-led supply cuts and U.S. sanctions against exporters Venezuela and Iran, but gains were capped by record U.S. crude output, rising inventories and falling estimates of global demand growth. Brent crude futures were at US$ 66.83 per barrel at 1143 GMT, up 84 cents or 1.2% from their last close. U.S. sanctions against the oil industries of OPEC members Iran and Venezuela have also had an impact, traders said. Venezuela's state-run oil firm PDVSA this week declared a maritime emergency, citing trouble accessing tankers and personnel to export its oil due to sanctions. Despite these factors, oil remains in plentiful supply thanks to surging U.S. production. (Reuters: https://finance.yahoo.com/news/oil-edges-opec-cuts-u-024547817.html)

 

Commodities

Venezuela, Palestine sign agreement on diamond production

Venezuela and Palestine have concluded a strategic agreement on the production of diamonds, the live broadcast of the signing ceremony on Nicolas Maduro’s Twitter account showed. According to the Venezuelan official figures, 85% of diamonds, found in the country’s Bolivar state, especially in the area of the Orinoco River, were the highest quality diamonds that met various international standards. (Sputnik News: https://sputniknews.com/business/201903071073021080-venezuela-palestine-agreement-diamond-production/)

 

Economy & Finance

U.S. puts financial institutions 'on notice' on Venezuela transactions

White House national security adviser John Bolton on Wednesday warned foreign banks and other financial institutions that they will face U.S. sanctions for “illegitimate” transactions that benefit Venezuela’s Nicolas Maduro and his network. “The United States is putting foreign financial institutions on notice that they will face sanctions for being involved in facilitating illegitimate transactions that benefit Nicolas Maduro and his corrupt network,” Bolton said in a statement released by the White House. (Reuters: https://www.reuters.com/article/us-venezuela-politics-usa-bolton/u-s-puts-financial-institutions-on-notice-on-venezuela-transactions-bolton-idUSKCN1QN279)

 

U.S. set to punish foreign banks who deal with Venezuela's Maduro: official

The United States has identified efforts by Nicolas Maduro to work with foreign banks to move and hide money and is ready to punish the banks with sanctions soon, a senior U.S. administration official said on Wednesday. The White House said earlier on Wednesday that banks would face sanctions for “illegitimate transactions” that helped Maduro and his network. The warning was prompted by efforts by Maduro, his officials, their family members, and state-owned entities to find ways to keep revenues flowing. “They’re trying to move their money and hide that money in different places. Some banks - some foreign banks in particular - are being complicit in this behavior,” the official said in an interview, declining to provide further details. The U.S. government was getting ready to name and impose sanctions on banks that have ignored warnings, the official said. “You’ll definitely see some named in the near future,” the official said. “We will be sanctioning some in the days and weeks to come.” (Reuters: https://www.reuters.com/article/us-venezuela-politics-usa-banks/u-s-set-to-punish-foreign-banks-who-deal-with-venezuelas-maduro-official-idUSKCN1QN2QE) 

 

Russia's sanctioned RUSFINCORP to take on PDVSA accounts

The Russian accounts of Venezuelan companies, including state oil firm PDVSA, will be moved to the Russian Financial Corporation Bank (RUSFINCORP), which is sanctioned by the United States. The decision had been agreed with the Russian government, the source, who is familiar with the negotiations, said, confirming an earlier report by the RIA news agency. “This is not the Kremlin’s direct responsibility to open accounts and coordinate with business,” Kremlin spokesman Dmitry Peskov said. Reuters reported last month that Russian lender GAZPROMBANK had decided to freeze the accounts of PDVSA and halted transactions with the firm to reduce the risk of the bank falling under U.S. sanctions. Russian authorities made the decision to move the Venezuelan accounts after consultations with their counterparts and business in Venezuela. The United States imposed sanctions against RUSFINCORP, which is owned by Russian arms exporter ROSOBORONEKSPORT, and some businessmen in April 2018 in one of Washington’s most aggressive moves to punish Moscow for its alleged meddling in the 2016 U.S. election and other “malign activity.” (Reuters: https://www.reuters.com/article/us-venezuela-politics-banks/russias-sanctioned-rusfincorp-to-service-venezuelas-pdvsa-accounts-ria-idUSKCN1QN0UG)

 

Guaidó asks CITIBANK to delay gold repurchase

Interim president Juan Guaidó has asked Citibank to delay by 120 days Venezuela’s scheduled repurchase of gold that President Nicolas Maduro’s government put up as collateral for a loan in 2015, three members of the team advising Guaidó said. Advisers to Guaidó, who has been recognized by most Western nations as Venezuela’s legitimate head of state, have met with CITIBANK officials to ask them to hold off claiming the gold that Maduro’s cash-strapped regime committed to give up if it failed to pay off the loan by its March due date. One of the sources told Reuters that CITIBANK has not yet informed them whether it will agree to the request. The request is part of the opposition’s strategy to safeguard Venezuela’s foreign assets and prevent the socialist Maduro government from selling off gold reserves to raise hard currency amid tightening sanctions. In a public report filed with the U.S. Securities and Exchange Commission in February, CITIBANK said the Venezuelan Central Bank (BCV) had agreed to repurchase an undisclosed amount of gold in March as part of an agreement signed by both institutions in 2015. (Reuters: https://www.reuters.com/article/us-venezuela-politics-gold/venezuelan-opposition-asks-citibank-to-delay-gold-repurchase-sources-idUSKCN1QM2T3)

 

IMF undecided on Guido’s recognition

The International Monetary Fund (IMF) has not decided on recognizing a new government in Venezuela, the organization's spokesperson said on Thursday. "The determination of the recognition of the government in Venezuela by the IMF has yet to be made," IMF spokesperson Gerry Rice told reporters during a press briefing. He noted that the situation remains very fluid both on the ground in terms of international recognition of National Assembly president Juan Guaidó, who has declared himself president. The situation with Guido’s recognition in the International Monetary Fund which comprises of 189 countries has been complicated by the fact that some member states have an opposing political stance on the issue. (SPUTNIK News: https://sputniknews.com/latam/201903071073041344-imf-venezuela-guaido/)

 

Politics and International Affairs

EU laments Maduro's expulsion of German envoy, Guaidó calls for more sanctions

The European Union said it was disappointed that the Maduro regime has ordered the German ambassador to leave the country after he expressed support for interim president leader Juan Guaidó. European Commission spokeswoman Maja Kocijancic said Thursday that the EU wants to continue its dialogue with all political forces in the country. "Despite the tense and complex political context, the EU has been keen to maintain lines of communication with all key parties including the government," Kocijancic said. "In that respect, the EU hopes that this decision can be reconsidered." On Wednesday, the Maduro announced it was giving Kriener 48 hours to leave the country, a move seen as a response regime to Germany's support for Guaidó. The German ambassador and other diplomats greeted Guaidó when he returned to Venezuela on Monday — a gesture the Venezuelan government condemned. In Berlin on Thursday, German Foreign Minister Heiko Maas called the attempted expulsion of German Ambassador to Venezuela Daniel Kriener "incomprehensible" and "unacceptable." He added that Germany's support for interim president Juan Guaidó in his power struggle with Acting President Nicolas Maduro was "unshakable." Guaidó, however, said he had asked Kriener to stay on as ambassador in Caracas, since Maduro was not empowered to expel a diplomat as he was “occupying the post of president illegally.” In an interview with German news magazine "Der Spiegel," Guaidó said the expulsion of Kriener was an act of desperation on Maduro's part. "He's trying to fool the public into thinking he still has power by expelling an ambassador," Guaidó declared. " He also urged Europe to tighten financial sanctions against the Maduro regime “I hope that Europe reacts sharply to this serious threat against an ambassador,” Guaidó said. “Above all, they should tighten financial sanctions against the regime.” Maas said Kriener had acted on explicit instructions from the German Foreign Ministry. "It was my express wish and request that Ambassador Kriener turn out with representatives of other European nations and Latin American ones to meet acting President Guaidó at the airport," Mass told reporters. "We had information that he was supposed to be arrested there. I believe that the presence of various ambassadors helped prevent such an arrest." Maas also stated that he had recalled Kriener to Berlin for "consultations" and that he would arrive back in Germany on Saturday. But German foreign policy experts are outraged at Maduro's behavior. Juergen Hardt, foreign policy spokesman for the conservative bloc in Germany’s parliament, backed Guaidó’ s call for further sanctions against Maduro and said the goal should be for Kriener to return to Caracas as soon as possible. (The New York Times: https://www.nytimes.com/aponline/2019/03/07/world/europe/ap-venezuela-political-crisis-the-latest.html; Reuters: https://www.reuters.com/article/us-venezuela-politics-germany/venezuelas-Guaidó-urges-more-sanctions-after-german-expulsion-idUSKCN1QO0II; DW: https://www.dw.com/en/germany-slams-nicolas-maduros-venezuela-over-ambassador-expulsion/a-47809669)

 

US pushes Russia to keep Venezuela's interim president safe from harm

U.S. officials are pressing Russia to ensure that Venezuelan strongman Nicolas Maduro doesn’t harm his nemesis Juan Guaidó, who major Western powers recognize as the country's interim president. “We are discussing the urgent issues affecting Venezuela with many countries, including Russia,” a representative for the State Department’s Bureau of Western Hemisphere Affairs told the Washington Examiner. “We hold Nicolas Maduro and those who surround him fully responsible for the safety and welfare of Interim President Guaidó and his family.” Secretary of State Mike Pompeo spoke to Russian Foreign Minister Sergey Lavrov on Saturday, as Guaidó prepared to return home from meetings around the region. “An arrest of Juan Guaidó,” a senior administration official told the Washington Examiner, “would essentially ensure that the doors would be shut on Russia throughout the Americas for a generation.” That message was delivered with increased urgency considering “serious and credible threats [against Guaidó] and his family, which have recently intensified,” as the Colombian Foreign Ministry described it on Sunday. Pompeo’s call with Lavrov coincided with a warning from the European Union that an attack on Guaidó “would represent a major escalation of tensions.” Brazil, another regional heavyweight supporting Guaidó, also demanded Saturday that “those still in control of the regime's repressive apparatus” prevent him from coming to harm. Those warnings were heard, raising U.S. hopes that the regime’s grip on power is slipping, given the non-enforcement of the travel ban. Lavrov said Russia is willing “to hold bilateral consultations” with Pompeo about the crisis but reiterated the charge that President Trump’s administration is meddling in Venezuelan affairs. (The Washington Examiner: https://www.washingtonexaminer.com/policy/defense-national-security/us-pushes-russia-to-keep-venezuelas-interim-president-safe-from-harm)

 

US envoy dismisses military force in Venezuela

The U.S. envoy for Venezuela dismissed the possibility of American military action here in a recording made by two Russian pranksters and released Wednesday. Special Representative Elliott Abrams said in the recording that the U.S. wouldn’t use force in Venezuela unless the government did something “completely crazy” like attack the American Embassy. But Abrams, who apparently believed he was speaking with a Swiss official, said the U.S. seeks to “make the Venezuelan military nervous” by not publicly ruling out military action to oust President Nicolas Maduro. “We think it is a mistake tactically to give them endless reassurances that there will never be American military action,” he said. “But I can tell you this is not what we are doing. What we are doing is exactly what you see, financial pressure, economic pressure, diplomatic pressure.” The Abrams recording was released online and published by Russian media Wednesday. Asked for comment, the State Department said in an email that “we are well aware in general, and were aware in this case, of Russia’s propaganda playbook and the lengths they will go to prop up the Maduro regime.” (AP News: https://apnews.com/a2ca552b73f146e4a532470d75f28958)

 

UN’s Bachelet slams Maduro regime, says she will send mission here, criticizes sanctions

UN rights chief Michelle Bachelet slammed the Maduro regime's "violations of civil and political rights" in her annual report to the UN Human Rights Council in Geneva. "Venezuela clearly illustrates the way violations of civil and political rights - including failure to uphold fundamental freedoms, and the independence of key institutions - can accentuate a decline of economic and social rights," said former Chile president socialist Bachelet. Yet she claimed that: "This situation has been exacerbated by sanctions," generally targeting individuals within the Maduro regime. She also announced she was sending a mission to Venezuela to evaluate conditions here. (Channel News Asia: https://www.channelnewsasia.com/news/world/venezuela-crisis-worsened-by-sanctions-un-11318318) and more in Spanish: (Noticiero Venevisión, http://www.noticierovenevision.net/noticias/internacional/michelle-bachelet-informo-que-una-mision-de-la-onu-visitara-venezuela-la-proxima-semana)

 

Guaidó seeks Venezuela’s public workers’ support, announces strikes

Immediately after he returned to Caracas Venezuela’s interim president Juan Guaidó announced to tens of thousands of supporters his plans for new protests. As part of his challenge to Maduro, Guaidó is attempting to take control of the state bureaucracy, which he considers having been "kidnapped" through blackmail and persecution. He met on Tuesday with union representatives as he escalated his campaign to topple Maduro with an appeal for support from state unions, long reliant on government handouts. Unions from the oil industry, basic services, the public bank and local government took part in Tuesday's meeting, union leader Ana Yanez told AFP. "The public administration is practically paralyzed. In the town halls, people only go to work three days a week and even then, barely half the day," said Yanez. Guaidó announced that the unions will launch a staggered strike within the public administration to continue exerting pressure to leave office on leftist incumbent Nicolas Maduro. "Public sector workers have lost practically all their rights, we have no other option but to call for a civic strike," said Guaidó. “We’re definitively moving toward a staggered strike in the public administration, a proposal made by the unions,” Guaidó said at a press conference. He added that at the meetings the participants promised to “build their abilities so as not to continue collaborating with the dictatorship, so that public employees will not find themselves obligated to cooperate any more or to be forced to do anything” by the Maduro regime. Hours earlier, Guaidó said police officials were among those at a meeting that he held with leaders of public employee unions, which rely heavily on subsidies from Maduro's government to get by in a country suffering from hyperinflation and shortages of food and other necessities. "We're not going to collaborate any longer with the dictatorship," Guaidó said after a meeting at the offices of an engineers' association in Caracas. He urged state workers to prepare for a strike, though no date was given, and he said an immediate priority will be to promote a law guaranteeing rights for public workers and said he would call a meeting of the legislature on Wednesday to craft the law. Guaidó announced that starting Wednesday, the National Assembly will begin meeting with the biggest union confederations, which gather together more than 600 unions, to coordinate future actions. Guaidó said: "They thought the pressure had already maxed out... They better know that the pressure has barely begun." Maduro immediately countered by offering to hold long-postponed collective bargaining talks nationwide with the unions. (Latin American Herald Tribune, http://www.laht.com/article.asp?ArticleId=2475770&CategoryId=10717; Local10: https://www.local10.com/news/venezuela/venezuela-s-adversaries-seek-to-show-resolve-in-crisis; Channel News Asia: https://www.channelnewsasia.com/news/world/venezuela-crisis-worsened-by-sanctions-un-11318318; BBC News: https://www.bbc.com/news/world-latin-america-47464414); and more in Spanish: (Noticiero Venevisión, http://www.noticierovenevision.net/noticias/economia/nicolas-maduro-ordeno-discutir-contratos-colectivos-de-empresas-a-nivel-nacional; AVN, http://www.avn.info.ve/contenido/presidente-maduro-ordena-discutir-contratos-colectivos-empresas-b%C3%A1sicas-guayana)

 

Maduro vows to defeat 'crazed minority'

Former President Nicolás Maduro has vowed to defeat a "crazed minority" that wants to remove him from power. In a challenge to opposition leader Juan Guaidó, he called for "anti-imperialist marches" on Saturday to coincide with anti-government protests. Maduro's comments were the first since Guaidó defied him and returned to the country on Monday. Appearing a day after his rival returned home to a tumultuous welcome, former president Nicolas Maduro denounced his opponents in a speech Tuesday at a military ceremony but did not refer by name to Juan Guaidó. The Maduro government's decision not to move against the interim president upon his return to Venezuela on Monday reflects the intense pressure Maduro faces and, possibly, a calculation that restraint is the best tactic for now. Some analysts speculate the two sides might consider behind-the-scenes negotiations to end the standoff. Still, Maduro was defiant during a ceremony marking the sixth anniversary of the death of his predecessor and mentor, Hugo Chavez, belittling a "minority of opportunists and cowards." He said government supporters would hold a rally on Saturday, a "day of anti-imperialism" in his words, and a counter to U.S.-backed Guaidó’ s plans to hold nationwide protests the same day. Maduro also pinned medals on members of the security forces involved in a crackdown on Guaidó’ s failed Feb. 23 attempt to bring humanitarian aid into Venezuela from Brazil and Colombia. Speaking at an event marking the sixth anniversary of the death of his predecessor and political mentor, Hugo Chávez, Maduro said: "While a crazed minority continues with their hatred, with their bitterness, it's their problem. We won't pay attention to them, compatriots." His call for marches on Saturday sets the stage for more confrontation with Guaidó. Maduro has done this before, calling his own counter-demonstration every time Guaidó announces a protest. But the opposition gatherings usually have the edge in numbers. (BBC News: https://www.bbc.com/news/world-latin-america-47464414; Channel News Asia: https://www.channelnewsasia.com/news/world/venezuela-crisis-worsened-by-sanctions-un-11318318; Local10: https://www.local10.com/news/venezuela/venezuela-s-adversaries-seek-to-show-resolve-in-crisis)

 

More Venezuela sanctions on the way, Abrams tells Congress

The U.S. is preparing to slap additional sanctions on financial institutions supporting Nicolas Maduro. U.S. Special Representative for Venezuela Elliott Abrams told members of the Senate Foreign Relations Committee Thursday that the U.S. is “going to expand the net” of sanctions and visa restrictions on Maduro’s inner circle, their families and supportive companies as part of a campaign to drive the socialist president from power and install opposition leader Juan Guaidó as the country’s interim leader. “There will be more sanctions on financial institutions that are carrying out orders from Maduro’s regime… stealing money and hiding it around the world,” Mr. Abrams said. Last week, the U.S. imposed “dozens” of new visa restrictions and sanctions on top officials of the Maduro regime and their families and on six Venezuelan security officials who have allegedly participated in obstructing international aid into the country. Mr. Abrams explained to the committee that “every time” the U.S. imposes new sanctions on a person or institutions, it is noted that “all visa revocations are reversible.” He did not detail the path toward reversing a visa revocation but said the U.S. has a plan in place. (The Washington Times: https://www.washingtontimes.com/news/2019/mar/7/more-venezuela-sanctions-way-trump-envoy-elliott-a/)

 

Heavily armed soldiers aborted a plan to enter Venezuela by force

Late last month, as U.S. officials joined Venezuelan opposition leader Juan Guaidó near a bridge in Colombia to send desperately needed aid to the masses and challenge the rule of Nicolas Maduro, some 200 exiled soldiers were checking their weapons and planning to clear the way for the convoy. Led by retired General Cliver Alcala, who has been living in Colombia, they were going to drive back the Venezuelan national guardsmen blocking the aid on the other side. The plan was stopped by the Colombian government, which learned of it late and feared violent clashes at a highly public event it promised would be peaceful. (Bloomberg, https://www.bloomberg.com/news/articles/2019-03-06/heavily-armed-soldiers-aborted-plan-to-enter-venezuela-by-force)

 

Cody Weddle, a U.S. journalist, is arrested in Venezuela and will be deported

An American freelance journalist with legal residence in Venezuela was arrested on Wednesday along with his Venezuelan assistant by the country’s military counterintelligence service, the latest episode in an expanding crackdown on press freedom amid the country’s long-running political crisis. The authorities held the reporter, Cody Weddle, 28, for several hours at the headquarters of the Directorate General of Military Counterintelligence after searching his apartment, Mr. Weddle said in a voice message late Wednesday. He was then told he was going to be deported and was taken to the airport by armed men, he said. Lawyers in Venezuela said that Mr. Weddle’s assistant, Carlos Camacho, was released from police custody earlier in the evening. Mr. Weddle said around 6:40 a.m., four people from the military counterintelligence service arrived at his apartment with a search order. He said they put all his electronics in a briefcase, and more people arrived in civilian clothes to sweep the apartment — possibly looking for “spying equipment,” Mr. Weddle said. He was then taken to the agency’s headquarters, where he said he was masked and hooded for hours. The mask was taken off and Mr. Weddle was asked questions about his work as a journalist, he said. Mr. Weddle is a freelance reporter whose most frequent employer is the South Florida television network WPLG. He was later taken to the airport by men in bulletproof vests, he said, and was to fly to the United States on Thursday. Kimberly Breier, the United States assistant secretary of state for Western Hemisphere affairs, said on Twitter earlier Wednesday that the State Department was aware of Mr. Weddle’s arrest and demanded his “immediate release, unharmed.” Mr. Weddle and Mr. Camacho joined dozens of journalists, both local and foreign, who have been detained in recent weeks in Venezuela. (The New York Times: https://www.nytimes.com/2019/03/06/world/americas/cody-weddle-journalist-venezuela.html)

 

State Department supports Guaidó’ s status as interim president, chides media coverage

At the press briefing on Tuesday, spokesman Robert Palladino objected to news coverage describing Juan Guaidó as opposition leader or self-proclaimed president, rather than “interim president” as Washington has declared him to be. “Millions of Americans and more than 50 countries recognize Juan Guaidó as interim president of Venezuela,” Palladino argued, so to refer to him otherwise “falls into the narrative of a dictator who has usurped the position of the presidency and led Venezuela into the humanitarian, political, and economic crisis that exists today.” (RT: https://www.rt.com/usa/453192-state-department-venezuela-propaganda/) and more in Spanish: (El Universal, http://www.eluniversal.com/internacional/34853/el-departamento-de-estado-de-eeuu-insto-a-la-prensa-a-llamar-presidente-interino-a-juan-Guaidó)

 

Trump, unpopular elsewhere, has lots of fans in Venezuela

President Trump’s trade and other foreign policies have made him unpopular in many countries that are traditionally U.S. allies. But they love him in Venezuela. Polls show that the U.S. government’s toughening stance against Venezuela’s authoritarian regime in recent weeks has catapulted Mr. Trump up the popularity rankings in this crisis-stricken country. His favorable numbers are especially noteworthy in a region that has long been wary of American intrusion. (The Wall Street Journal: https://www.wsj.com/articles/trump-widely-disparaged-abroad-has-lots-of-fans-in-venezuela-11551882601)

 

Navy SEAL who killed Bin Laden warns of ‘bloody’ end to Venezuela crisis

Retired Navy SEAL Robert O’Neill, who claims that he killed Osama Bin Laden in 2014, has predicted fatal consequences for the current political standoff in Venezuela. “What needs to happen is something along the lines of a coup. As much as I would like to see it [end in a way that is] non-violent, I think it’s going to end bloodily for [Venezuelan President Nicolas] Maduro”, O’Neill told Fox Business. He claimed that the Venezuelan army is keeping Maduro in power and urged opposition leader and self-proclaimed president Juan Guaidó to “turn the military around”. (Sputnik News: https://sputniknews.com/world/201903071073023833-venezuela-president-maduro-navy-seal/)

 

Venezuela mental health institutions struggle in economic crisis

Years of economic hardship are taking a shocking toll on Venezuela's most vulnerable, leaving psychiatric patients without doctors, food or medicine. All over Venezuela, mental health institutions are struggling to provide medication and care through the country's economic crisis. The government has blamed the sanctions imposed by the United States, but doctors and facility workers said the problem began years ago. As the political and economic crises in Venezuela worsen, it is likely that patients with mental illness and others among the country's most vulnerable will fare the worst. (Al Jazeera: https://www.aljazeera.com/news/2019/03/venezuela-mental-health-institutions-struggle-economic-crisis-190306163257823.html)

 

The following brief is a synthesis of the news as reported by a variety of media sources. As such, the views and opinions expressed do not necessarily reflect those of Duarte Vivas & Asociados and The Selinger Group.

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