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Venezuela: Political Crisis and U.S. Policy


Updated June 10, 2020


Venezuela remains in a deep crisis under the authoritarian
rule ofNicolds Maduroof the United SocialistParty of
Venezuela (PSUV). On January 10, 2019, Maduro began a
second termthat most Venezuelans and much of the
international community consider illegitimate. Congiess has
enacted legislation affecting U.S. policy on Venezuela,
appropriated foreign assistance to support thepeople of
Venezuela and to address the regional migration crisis, and
held oversighthearings on U.S. policy toward Venezuela.

Since January 2019, Juan Guaid6, pres ident ofVenezuela's
democratically elected, opposition-controlled National
As s embly, has sought to forma transition government to
serve until internationally observed elections can be held.
The United States and 57 other countries recognize Guaid6
as interimpresident. In early 2020, Guaid6 completed an
international tour during which he met with President
Trump. Thus far, he has provedunable to harness that
international support to dislodge Maduro frompower.


Maduro was narrowly elected in 2013 after the death of
populist President Hugo Chdvez (1999-2013) and reelected
in May 2018 in a fraudulent election. Maduro has used the
Venezuelan courts, security forces, and electoral council to
quash dis sent. Security forces have detained and abused
Maduro's opponents, including military officers and
oppositionpoliticians. Morerecently, police have violently
enforced a Coronavirus Disease 2019 (COVID-19)
quarantine and arrested thosewho have criticized the
government's response to the pandemic. As of June 1,
2020, the governmentheld 451 political prisoners,
according to ForoPenal, a human rights organization.

By most accounts, Maduro's government has mismanaged
the economy and engaged in massive corruption,
exacerbating the effects of a decline in global oilprices and
oil production onthe country's economy. Maduro has
rewarded allies, including the military, with income
siphoned fromstate industries, as well as from illegal gold
mining, drug trafficking, and other illicit activities. The
International Monetary Fund (IMF) estimates that the
Venezuelan economy contractedby 35% in 2019 and
inflation reached 9,585%. According to IMF forecasts,
hyperinflation will continue in 2020 and an economic
contractionofsome 15% could occur.

Shortages in food and medicine, declines in purchasing
power, and a collapseofsocial services havecreated a
humanitarian crisis. In April2019, U.N. officials estimated
that some 90% of Venezuelans were living in poverty. A
February 2020 World Food Program as sessment es timated
that 9 million Venezuelans were food insecure. Health
indicators, particularly infant and maternal mortality rates,
have worsened. Previously eradicated dis eases such as


diphtheria and measles havereturned and spread. The
COVID- 19 pandemic has presented a new health challenge.
The government reported only 24 deaths fromCOVID- 19
(as of June 10), but experts predict that the actual number is
much higher and that the pandemic could decimate
Venezuela's hollowed-out health system. Some 70% of
Venezuelan hospitals surveyed in 2019 lacked access to
clean water. A Maduro-Guaid6 agreement negotiated in
early June 2020 should allow the Pan American Health
Organization to lead relief efforts.

In May 2020, U.N. agencies estimatedthat5.1 million
Venezuelans had left the country, most ofwhomwere in
Latin America and the Caribbean. Migrants face obstacles
maintaining informal s ectorjob s and accessing health care,
as neighboring countries have implemented quarantines and
border closures to prevent the spreadofCOVID-19.


On January 5,2019, the NationalAssembly elected Gu aid6,
an industrial engineer fromthe Popular Will party, as its
president. Guaid6 then announcedhe was willing to serve
as interim pres ident until new presidential elections were
held. Buoyed by massive protests, Gu aid6 took the oathof
office on January 23,2019.

Eighteen months later, Guaid6 retains diplomatic support
but lacks political power at home. In 2019, Guaid6's
supporters organized two unsuccessful efforts to get
security forces to abandon Maduro--in February, they
sought to bring emergency aid into the country across
borders that Maduro had closed, and on April30, Gu aid6
called for a civil-military uprising. After those efforts
failed, observers hoped negotiations between Guaid6 and
Maduro could lead to an electoral solution to the crisis.

When talks stalled, Maduro increased persecution of
Guaid6's supporters while negotiating with a group of
legislators fromsmaller parties. Maduro installed one of
these legislators (Luis Parra) as head of the National
Assembly in January 2020-a move that triggeredU.S.
sanctions. Guaid6 lost domestic support after being linked
to a botchedraid against Maduro in early May 2020
(reportedly involving U.S. mercenaries and former
Venezuelan soldiers), and the Supreme Court recognized
Parra as head of the assembly. It then ruled that since
efforts to select a new electoral council to oversee the
legislative elections duein 2020 had stalled in the National
Assembly, the courtwould selectthe councilmembers.
Legislative elections could occur in December 2020, but
many observers maintain that the elections would not be
free and fair.


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