Crisis in Caracas (The Hindu)

Mains Paper 2: International Relations
Prelims level: Venezuela’s political crisis
Mains level: Impacts of Venezuela’s political crisis

Context

•  The political crisis in Venezuela took a dangerous turn when Juan Guaidó, the new head of the National Assembly, declared himself “acting President”, challenging the authority of President Nicolás Maduro.
•  Soon after Mr. Guaidó’s announcement, the U.S., Canada, Brazil and a host of other Latin American countries recognised the 35-year-old leader from the Popular Will party as interim President.
•  A furious Mr. Maduro cut diplomatic ties with the U.S. and ordered American diplomats to leave in 72 hours.

Background of this crisis

•  Venezuela has grappled with an economic and political crisis of its own making for almost two years now.
•  When oil prices started falling from its 2014 highs, it badly hit an economy that was over-reliant on petroleum exports and was borrowing heavily to fund its over-spending on social welfare programmes, which former President Hugo Chávez liked to describe as a “Bolivarian revolution”.
•  Mr. Maduro’s government was clueless when the economy started collapsing.
•  At least 90% of the people now live below the poverty line, inflation is forecast to touch 10 million per cent this year, food and medicine shortages are widespread, and the economic woes have triggered a massive migrant crisis nearly three million are estimated to have fled the country in recent years.

Conclusion

•  To be sure, the people of Venezuela deserve a better deal from a government that has led them to untold suffering and forced millions to flee the country.
•  Destabilisation by interfering in the political process is not the solution.
•  However, what is required is a coordinated international effort to restore some degree of economic and political normalcy.
•  In the long run, it is up to the people of Venezuela to decide their own political destiny.

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General Studies Pre. Cum Mains Study Materials

Prelims Questions:

Q.1) The currency is used by Venezuela is:
A. Boliver
B. Peso
C. Rupiah
D. Dinar

Answer: A

Mains Questions:
Q.1) Venezuela plunges from one catastrophic crisis to another. Critically examine.