Venezuelan President Nicolás Maduro attended January 14 the National Constituent Assembly (ANC) to deliver the presidency annual report, unveil his 2019-2025 government plan and announce economic measures. The president’s priority during his new administration will be the economic and social development of the country. He also increased the value of the cryptocurrency Petro and quadrupled the minimum wage. Both measures came into force January 15.

Plan de la Patria 2019-2025

Maduro presented the government’s plan (“Plan de la Patria”) for the next six years, whose main focus is economic and social development. The main objectives of his second term are to reduce the unemployment rate to 2%, cultivate five million hectares of land per year to achieve self-sufficiency and produce six million barrels of oil per day, among other targets. In addition, the plan includes the 17 Sustainable Development Goals (SDG), promoted by the United Nations (UN). They include zero hunger, poverty eradication, promotion of innovation and care for the environment.

Economic announcements

• President Maduro increased the value of the cryptocurrency Petro from USD 10.44 (Bs.S. 9,000) to USD 41.67 (Bs.S. 36,000) as of January 15. This measure implies an increase in the minimum wage, as it is equivalent to half a Petro. Thus the minimum wage rises from USD 5.22 (Bs.S. 4,500) to USD 20.83 (Bs.S. 18,000).

• The 60% reserve of additional profits that the country’s public and private banks must keep deposited in the Central Bank of Venezuela (BCV) entered into force January 15. The banking institution had made the announcement last January 11.

• Maduro asked the National Constituent Assembly (ANC) to pass a bill to tax large estates.

• The country’s 23 state-owned companies must sell 15% of their production to international markets in the crypto currency Petro.

• The Executive branch will allocate USD 1 billion to the agricultural sector in the coming weeks to guarantee the planting of thousands of hectares and promote agro-industry.

• He asked to increase the periodicity of delivery of the CLAP boxes from once to twice a month. These boxes contain basic foodstuffs, such as bread and rice, and are delivered to the low-income population.

Presidency annual report

The president said that 2018 was a year of extraordinary challenges for Venezuela, mainly in economic matters. For example, he acknowledged the hyperinflation that has been ravaging the country for several months. However, Maduro highlighted the creation of the cryptocurrency Petro and the implementation of monetary reconversion as the most important countermeasures of his administration. He also mentioned that in 2018 thousands of jobs were created for young people and more than 150,000 tons of food were produced.

Nicolás Maduro’s visit to the ANC came four days after the swearing-in of his second term as President of Venezuela. Maduro is facing international criticism for the lack of transparency of the presidential elections of May 20, 2018 and an unprecedented economic crisis. On Friday, January 11, the president of the National Assembly, Juan Guaidó (Voluntad Popular – opposition) declared himself interim president of Venezuela, citing Maduro’s alleged “usurpation” of office. The Secretary General of the Organization of American States (OAS), Luis Almagro, along with countries in the region such as Argentina and Chile support Guaidó.