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Venezuela: Background and U.S. Relations (CRS Report for Congress)

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Release Date Revised Dec. 6, 2022
Report Number R44841
Report Type Report
Authors Clare Ribando Seelke, Coordinator; Rebecca M. Nelson; Phillip Brown; Rhoda Margesson
Source Agency Congressional Research Service
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Summary:

Venezuela remains in a deep political crisis under the authoritarian rule of President Nicolás Maduro of the United Socialist Party of Venezuela (PSUV). On May 20, 2018, Maduro defeated Henri Falcón, a former governor, in a presidential election boycotted by the Democratic Unity Roundtable (MUD) of opposition parties and dismissed by the United States, the European Union, and 18 Western Hemisphere countries as illegitimate. Maduro, who was narrowly elected in 2013 after the death of President Hugo Chávez (1999-2013), is unpopular. Nevertheless, he has used the courts, security forces, and electoral council to repress the opposition. Maduro’s reelection capped off his efforts since 2017 to consolidate power. From March to July 2017, protesters called for President Maduro to release political prisoners and respect the MUD- led National Assembly. Security forces quashed protests, with more than 130 killed and thousands injured. Maduro then orchestrated the controversial July 2017 election of a National Constituent Assembly to rewrite the constitution; the assembly then assumed legislative functions. The PSUV dominated gubernatorial and municipal elections held in 2017, although fraud likely occurred in those contests. Maduro has arrested dissident military officers and others, but he also has released some political prisoners, including U.S. citizen Joshua Holt, since the May election. Venezuela also is experiencing a serious economic crisis, marked by rapid contraction of the economy, hyperinflation, and severe shortages of food and medicine. President Maduro has blamed U.S. sanctions and corruption for these problems, while conditioning receipt of food assistance on support for his government and increasing military control over the economy. He maintains that Venezuela will seek to restructure its debts, although that appears unlikely. The government and state oil company Petróleos de Venezuela, S. A. (PdVSA) defaulted on bond payments in 2017. Lawsuits over nonpayment and seizures of PdVSA assets are likely.