U.S. Eases Bank Sanctions On Venezuela As Local Officials Protest Over Low Pay

The U.S. has eased sanctions on Venezuela’s state-run financial system, allowing key institutions to resume using U.S. currency and access global markets.

The decision, announced by the U.S. Treasury, enables Venezuela’s government-run banks to directly receive billions of dollars in oil revenue and reenter the U.S.-controlled financial system, a move aimed at easing pressure on the country’s struggling economy.

The step is also expected to support the administration of interim president Delcy Rodríguez, which has faced growing unrest in recent weeks. Public-sector workers have taken to the streets in Caracas demanding higher wages, with many earning about $160 a month, well below private-sector pay levels, according to Associated Press.

The sanctions relief follows the capture and removal of Nicolás Maduro in January. Washington had taken control of Venezuela’s oil revenues from state oil firm Petróleos de Venezuela, S.A., but restrictions tied to financial sanctions slowed the release of funds and delayed investment deals.

Those delays affected transfers to the Banco Central de Venezuela and complicated efforts to stabilize the economy, Axios reported. Without access to U.S. dollars, authorities faced a choice between increasing the money supply, risking another spike in inflation, or holding wages steady despite rising discontent.

Rodríguez last month said wages would increase from May 1 and on Monday urged Venezuelans to push for sanctions relief. The latest Treasury action appears to address some of those constraints without fully lifting restrictions.

Instead, the U.S. has issued targeted licenses through its Office of Foreign Assets Control, allowing specific institutions, including the central bank and other state-controlled lenders, to operate within the U.S. financial system under defined conditions.

The move is part of a broader shift in U.S. policy toward Venezuela since Maduro’s ouster. In recent months, Washington has expanded authorizations for American companies to engage with the country’s energy sector. Oil major Chevron this week reached an agreement to increase production in Venezuela, as reported by Axios.

The U.S. has also backed arrangements to increase Venezuelan gold sales in American markets and has lifted some individual sanctions, including those targeting Rodríguez.

Officials say the latest step is intended to help revive economic activity and reintegrate Venezuela into the global financial system, while maintaining leverage through selective restrictions.