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Biden Expands US Control of Venezuelan Oil Revenue

  //stocks-investing.news-articles.net/content/202 .. xpands-us-control-of-venezuelan-oil-revenue.html
  Published in Stocks and Investing on Saturday, February 7th 2026 at 18:29 GMT by KSTP-TV
      Locales: UNITED STATES, VENEZUELA

Washington D.C. - February 7th, 2026 - Building upon a policy initiated during the Trump administration, the Biden-Harris administration has significantly expanded executive controls over Venezuelan oil revenue, further solidifying financial support for the opposition led by Juan Guaido. Today, President Biden signed an amended executive order broadening the scope of the original 2019 directive, now encompassing not only crude oil but also refined petroleum products and natural gas liquids originating from Venezuela.

This escalation comes amidst a continuing political and economic crisis in Venezuela, where Nicolas Maduro remains in power despite widespread international condemnation and accusations of human rights abuses. The initial executive order, signed by President Trump in 2019, sought to divert funds generated from Venezuelan oil sales away from Maduro's government and towards Guaido, who at the time was recognized by the US and several other nations as the legitimate interim president. The underlying principle was to starve the Maduro regime of resources used to maintain its grip on power and facilitate humanitarian aid delivery through the opposition.

The 2026 amendment, however, goes further. It now mandates that all financial transactions related to Venezuelan hydrocarbon exports - even those conducted by third-party entities - must be vetted by the US Treasury Department's Office of Foreign Assets Control (OFAC). OFAC will determine whether funds are legitimately destined for Guaido's control or, potentially, being diverted back to the Maduro regime through illicit channels. This represents a substantial tightening of control over a critical revenue stream for Venezuela.

"For years, the Maduro regime has mismanaged Venezuela's vast natural resources, enriching a select few while the Venezuelan people suffer immensely," stated a press release from the White House. "This expanded executive order ensures that the wealth of Venezuela benefits its citizens, not a corrupt and authoritarian government." The administration highlights increased reports of starvation, disease, and a mass exodus of Venezuelans as justification for continued intervention.

However, the move is not without its critics. Legal scholars and international policy analysts are raising concerns about the legality and long-term effectiveness of the policy. Professor Eleanor Vance, a specialist in international law at Georgetown University, argues that the US is effectively controlling a sovereign nation's assets. "While the intention may be noble, this increasingly resembles economic warfare," she explains. "The question becomes, at what point does intervention cross the line into violating Venezuela's sovereignty?"

The efficacy of the policy is also debated. While the original order aimed to cripple Maduro's finances, it has arguably had a limited impact on his ability to remain in power, fueled by support from countries like Russia, China, and Cuba. Furthermore, diverting funds to Guaido, who lacks control over Venezuelan territory or institutions, has raised questions about how effectively those funds are being used to alleviate the humanitarian crisis. Reports suggest that a significant portion of the revenue remains unspent, locked in escrow accounts managed by US financial institutions.

Several analysts point to the growing influence of alternative energy sources and the decline in global demand for oil as potentially rendering the policy less effective over time. If Venezuela's oil exports continue to diminish, the value of controlling the revenue stream also decreases.

Furthermore, the recent political landscape has shifted. While Guaido initially enjoyed widespread international recognition, that support has waned in recent years, with many countries now engaging in dialogue with the Maduro regime. Some argue that maintaining the financial blockade only serves to exacerbate the crisis and hinders potential negotiations.

The Biden administration maintains that the expanded order is a temporary measure, contingent on progress towards democratic elections and respect for human rights in Venezuela. They insist that they are working with international partners to explore comprehensive solutions to the Venezuelan crisis, including humanitarian assistance and diplomatic efforts. However, critics remain skeptical, suggesting that the US is increasingly focused on regime change rather than genuine support for the Venezuelan people. The long-term consequences of this continued financial intervention remain to be seen, but it is clear that the US is doubling down on its strategy of economic pressure in an attempt to influence the future of Venezuela.