Weekly Report - 27 February 2020 (WR-20-08)

Venezuela’s de facto president Nicolás Maduro has declared an emergency in the state-run oil company Pdvsa. Maduro made the announcement directly after the US government slapped sanctions on the trading arm of Russia’s state-owned oil producer Rosneft last week [WR-20-07]. Pdvsa is no stranger to emergencies. Twice in 2017 Maduro announced a decisive restructuring of Pdvsa to much fanfare. Then, it was ostensibly designed to snuff out rampant corruption but was motivated by a clear political agenda. It was the first time the armed forces had been put in control of the state cash cow, but the promised surge in oil production has not been forthcoming, declining even further. Now, Maduro is empowering civilians to try and set things straight, albeit with a strong military presence.