Venezuela’s parliament on Thursday elected a new attorney general and passed a new mining law that will allow private companies to participate in mineral extraction. Meanwhile, a demonstration was held in the capital, where protesters demanded an increase in wages and pensions. The police dispersed them with tear gas. TASR informs about it according to the agencies AFP and Reuters.
- Venezuela’s new leadership is cooperating with the US on oil production and reforms.
- The new law opens the mining of gold and strategic minerals to private and foreign companies.
- Larry Devoe replaced Tarek Saab as Venezuela’s Attorney General.
- Police in Caracas used tear gas to disperse protests for higher wages.
Since the abduction of Venezuelan President Nicolás Maduro by US special forces, Venezuela has been undergoing significant changes, and the new leadership is cooperating with the US in extracting its significant oil reserves and pushing for various economic reforms.
New Testament
In addition to oil, the country is also rich in minerals such as gold, diamonds, bauxite or coltan, which is used in electronics.
The new law repeals regulations from 1999 and 2015 and allows domestic, foreign, state-owned and private companies or consortia to mine gold and “strategic minerals”. Concessions will be granted for a maximum of 30 years, but can be extended for up to two 10-year periods. Mineral deposits remain the property of the state and disputes can be resolved through arbitration. Foreign investors see this as a key safeguard against government seizure of their assets. The legislation also prohibits the president, vice president, ministers, governors and others from owning mining rights.
Liberalization of mining legislation
Parliament passed the law unanimously about a month after US Interior Secretary Doug Burgum visited the country, accompanied by more than 20 representatives of mining companies. Their goal was to convince the government to liberalize mining legislation.
Lawmakers also elected Larry Devoe as the new attorney general on Thursday, replacing Tarek William Saab, a close ally of ousted President Maduro. He previously headed the National Human Rights Council, and in 2019 Canada imposed sanctions on him, calling him “a central figure in the Maduro regime.”
Demonstrations in Caracas
At the same time, about 2,000 people demonstrated in Caracas on Thursday, demanding higher wages and pensions. On the way to the presidential palace, the police fired tear gas against them.
According to AFP, the interim president of the country, Delca Rodríguez, is still unable to solve the ongoing economic crisis. On Wednesday, on state television, she announced a wage increase from May 1, but did not say by how much.
Economic crisis
Monthly wages in the public sector hover around $150, including bonuses. But according to estimates, Venezuelan families need at least $650 to buy basic food in a country where year-on-year inflation rose to 600 percent in February.
The protests took place on the day Venezuela’s interim leader left for her first foreign trip to the Caribbean island of Grenada.
