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sanctions
100+ Economists, Scholars Demand End to Sanctions on Venezuela After Catastrophic Earthquakes
The experts laid out various policies they argued are "required to prevent avoidable deaths, stabilize a sanctioned economy, and allow Venezuelans to rebuild with dignity."
07 Jul, 2026
With at least 3,535 people dead, 16,740 injured, and tens of thousands still missing after a pair of major earthquakes hit Venezuela last month, over 100 economists and scholars on Tuesday jointly called for "immediate action to unfetter Venezuela's humanitarian response and reconstruction from ongoing economic and financial sanctions, asset freezes, and onerous debt burdens."
Such demands began to emerge shortly after the 7.2- and 7.5-magnitude quakes, both centered in Yaracuy, on June 24. The new letter, shared with Common Dreams by the Center for Economic and Policy Research, follows a similar message sent to President Donald Trump and Secretary of State Marco Rubio last week by CEPR, Just Foreign Policy, Latin America Working Group, Venezuelan American Community Action, Peace Action, the Quincy Institute for Responsible Statecraft, and a dozen other organizations.
The academics and economists, including several experts at CEPR as well as James Galbraith, Jayati Ghosh, Jason Hickel, Ann Pettifor, Jeffrey Sachs, Robert Wade, and Isabella Weber, highlighted that "Venezuela enters this disaster after years of unilateral coercive measures, financial sanctions, and export controls that have damaged its economy and infrastructure."
That includes decades of US sanctions. On top of those economic moves, Trump earlier this year sent troops into Venezuela to abduct President Nicolás Maduro, then took control of the South American country's nationalized oil industry. The New York Times reported earlier this week that the Trump administration has seized at least $8 billion worth of Venezuela's oil wealth this year.
In a Tuesday piece for Just Security, a pair of experts who signed the new letter—George Lopez, professor emeritus of peace studies at the University of Notre Dame, and Venezuelan economist and CEPR senior Research Fellow Francisco Rodríguez—noted that post-earthquakes, "the United States pledged $300 million to relief agencies, mobilized civilian and military teams to Venezuela that are trained on disaster relief, and issued a limited sanctions waiver for earthquake relief activities.
"But these measures are far from enough," they stressed, explaining that "the United Nations estimates the losses from the quakes stand at $37 billion," or 32% of Venezuela's gross domestic product. They suggested that "the United States should spearhead a major reconstruction effort and lift all remaining sanctions on the Venezuelan economy."
The US was eager to take control in Venezuela earlier this year.Now that the country is facing devastating loss after twin earthquakes, the US should spearhead a major reconstruction effort and lift all remaining sanctions.From Francisco Rodríguez and George A. Lopez:
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— Just Security (@justsecurity.org) July 7, 2026 at 9:06 AM
The broader group argued that "whatever one's position on Venezuela's internal politics, the current set of coercive economic measures directed at the country is an indiscriminate instrument. Sanctions on the central bank, public banking, oil industry, and debt transactions do not land surgically on officials; they incapacitate payment systems, raise import costs, block correspondent banking, freeze reserves, deter suppliers, and produce scarcity across an entire society. This is precisely the moment to remove any economic and financial obstacles to relief and reconstruction."
They called on the Trump administration specifically to lift all economic sanctions, "including any that may impact the Banco Central de Venezuela (BCV), government institutions, Petróleos de Venezuela, SA (PDVSA), public financial institutions, the oil and mining sectors, banking, transportation, shipping, telecommunications, travel, and all related activities," and to immediately issue "the Section 25B certification that is required to enable the BCV to receive, control, use, and transact through its accounts and assets at the Federal Reserve and US banks."
The experts also took aim at the United Kingdom and the Portuguese, calling on the governments to respectively work with "the Bank of England to ensure the immediate unfreezing of the BCV's gold reserves, worth about $5 billion and representing a third of the central bank's reported assets," as well as with Novo Banco, "to return $1.2 billion belonging to Venezuela's development bank, BANDES, and PDVSA affiliates, as set out in a 2023 court decision."
They further pressured the International Monetary Fund (IMF) to "ensure that Venezuela has full access to its approximately $5 billion in special drawing rights (SDRs) for emergency stabilization and imports," and to approve a $4 billion rapid financing instrument (RFI) disbursement immediately, using its emergency and natural disaster rationale, with no conditions."
Beyond those specific recommendations, the economists and scholars urged "a coordinated debt jubilee for Venezuela," writing that "all official bilateral creditors, multilateral creditors to the extent legally possible, and public agencies holding claims should cancel or suspend debt service, interest, penalties, and arrears, and pursue a comprehensive debt reduction consistent with a rights-based recovery and climate-resilient reconstruction."
"A new fund should be established—perhaps financed by the IMF's Resilience and Sustainability Trust (RST)—to repurchase distressed debt from the secondary market, with legal protections against holdout litigation and asset seizures," they proposed. "Money owed to creditors cannot at the same time rebuild hospitals, schools, housing, water systems, and the grid. A debt crisis in these conditions is a developmental and humanitarian crisis."
"Venezuela's people must not be made to pay twice: first through disaster, and then through sanctions, frozen reserves, and unsustainable debt servicing," they concluded. "We urge governments, international financial institutions, and creditors to act now, on the principle that lives, public health, and economic recovery take precedence over coercion and collection. Emergency liquidity, full sanctions relief, SDR access, RFI financing, and debt cancellation are not acts of charity. They are the minimum policy response required to prevent avoidable deaths, stabilize a sanctioned economy, and allow Venezuelans to rebuild with dignity."
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US Provides $300 Million in Earthquake Recovery Money to Venezuela While Sitting on $8 Billion in Stolen Oil Wealth
"Will these funds be released for the disaster response?” asked a former US ambassador to Venezuela.
06 Jul, 2026
The Trump administration has seized at least $8 billion worth of Venezuela's oil wealth since it overthrew President Nicolás Maduro in January, according to the New York Times.
Now, as Venezuela struggles to cope with a catastrophic pair of earthquakes late last month that killed at least 3,300 people and left tens of thousands more injured and homeless, and 41,000-50,000 people are reported missing, the US is providing just $300 million in humanitarian aid, a small fraction of the money it purloined.
The Associated Press reported on Monday that international rescue teams have begun to pull out as hopes of finding missing loved ones alive dwindle each day after the disaster.
Shortly after deposing Maduro, US President Donald Trump declared that the US "took over Venezuela... and the oil is flowing.”
Economist Francisco Rodriguez has found that during the first quarter of 2026, after Trump overthrew Maduro and the US began expropriating Venezuelan oil, the country experienced the lowest rate of economic growth since 2021, even as oil exports rose.
As Roxanna Vigil, a former senior sanctions policy adviser at the US Treasury Department’s Office of Foreign Assets Control, explained in an article for the Council on Foreign Relations last month, "almost 100 million barrels of oil worth an estimated $8 billion have flowed through a process marked by no transparency and minimal oversight."
"While the Trump administration has repeatedly framed this control as benefiting both countries, it has not publicly disclosed how much Venezuelan oil it has sold, how much revenue it has collected, or how it has used those funds," she added.
According to an initial report by the United Nations Development Program, the quakes caused $6.7 billion worth of damage.
Former US Ambassador to Venezuela Jimmy Story credited what he said was a “robust” US effort to provide aid. But he told Reuters that it called into question "the transparency over the oil fund," and asked, "Will these funds be released for the disaster response?”
The Times noted that the Trump administration's response to the Venezuela quakes is dwarfed by the humanitarian response to the earthquake that struck Haiti in 2010, when the US launched a more than $3 billion relief effort and deployed more than 7,000 troops.
Just 900 US troops are on the ground in Venezuela, with another 800 positioned in Puerto Rico and Curaçao to support the operation.
The Times' Simon Romero, who has reported on earthquakes in both countries, noted that the Haiti earthquake was more destructive, but said:
The parallels between the disasters are also haunting: Pancaked multistory concrete buildings, bodies flooding into overwhelmed morgues, survivors disparaging government responses, and civilians leading desperate rescues of people trapped in the rubble.
Viewed against cityscapes clouded by dust from pulverized structures, the images speak to hollowed-out first responder agencies, generalized impoverishment, and political dysfunction in both Haiti and Venezuela.
Beyond the $8 billion taken out of Venezuela since January, anti-war and human rights groups in the US have urged the Trump administration to lift the economic sanctions that have crippled the Venezuelan government, arguing that they have hobbled the recovery effort.
The Washington Office on Latin America (WOLA) estimated that during just four years, between 2017-20, US sanctions caused the Venezuelan state to lose between $17 billion and $31 billion in revenue.
A more recent report by the Tricontinental Institute for Social Research found that between 2017-24, Venezuela suffered an estimated $226 billion in lost oil revenue due to US sanctions, equivalent to 213% of its total gross domestic product.
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As Post-Quake Misery Mounts in Venezuela, Demand Grows for Total End to US Sanctions
"Anything short of a full lifting of sanctions will hobble the overall response before it gets off the ground," said a letter sent to Trump and Rubio by a coalition of advocacy groups.
01 Jul, 2026
As death and injury tolls from Venezuela's pair of devastating earthquakes last week continue to rise, a coalition of human rights and anti-war groups called on President Donald Trump and Secretary of State Marco Rubio on Wednesday to lift the US sanctions that have crippled the nation's economy.
"As long as sweeping economic sanctions remain in place and Venezuelan assets remain frozen abroad, reconstruction will be unnecessarily delayed, and millions of people will continue to suffer," said the letter, which was written by Just Foreign Policy, the Latin American Working Group, and Venezuelan American Community Action and shared exclusively with Common Dreams.
It has been signed by more than a dozen other groups, including the Center for Economic and Policy Research (CEPR), the Quincy Institute for Responsible Statecraft, Peace Action, and the Presbyterian Church's Office of Public Witness.
The earthquakes have killed nearly 2,300 people as of Wednesday, a death toll that is expected to rise, with the number of missing people greater than 40,000, according to an unofficial estimate. The United Nations' resident coordinator said the UN was preparing more than 10,000 body bags for the country "in anticipation of the death toll rising further."
The quakes caused $6.7 billion in damage, the equivalent of 6% of the country's gross domestic product, the UN Development Program estimated last week.
In the letter sent Wednesday, the groups welcomed the State Department's mobilization of support for Venezuela, which has included search and rescue teams, military personnel for disaster relief, and at least $150 million in humanitarian assistance through aid partners and the UN.
But they said, “It is clear that emergency relief alone will not be enough.”
"Venezuela’s recovery will require access to its own financial resources and the ability to import the equipment, construction materials, medicine, fuel, spare parts, and other goods needed to rebuild homes, hospitals, schools, roads, ports, and critical infrastructure," they said.
They said acquiring these needs has been made vastly more difficult by US sanctions that have "deliberately crushed Venezuela's economy, restricting the government's ability to import goods, maintain infrastructure, and deliver basic services to its population."
Even before the earthquakes, they pointed out, nearly a third of Venezuela's population was in need of humanitarian assistance in May, according to the UN Office for the Coordination of Humanitarian Affairs.
They said US "responsibility" for the state of Venezuela's economy has only grown since Trump's operation in January to topple and abduct President Nicolás Maduro.
Despite Venezuela's oil exports rising 25%, its economic growth plummeted to an annual rate of just 2.5% in the first quarter of 2026, according to an analysis of bank data by Francisco Rodríguez, a senior research fellow at CEPR, who said it was "the lowest rate of growth observed since the second quarter of 2021."
"The data suggests the US may be holding Venezuelan oil revenues in deposit accounts and not disbursing them to the Venezuelan government," the letter said, "currently leaving ordinary Venezuelans with too little of the promised economic improvement and directly contradicting the Trump administration's claim that Venezuelans are doing better than ever."
Given the US role in creating these conditions, as well as the role of US sanctions in turning Venezuela's economic crisis in the 2010s into one of the worst depressions of the last 50 years, the coalition said the Trump administration must not continue using economic warfare to force political concessions.
They also condemned calls from Democrats, including Senate Foreign Relations Committee Ranking Member Jeanne Shaheen (NH) and House Foreign Affairs Committee Ranking Member Gregory Meeks (NY) earlier this month, for the Trump administration to "exercise its leverage" on Venezuela's current government, led by President Delcy Rodriguez, to push for democratic elections.
"The primary leverage the US has long held over Venezuela includes indiscriminate economic sanctions, alongside threats of military action that are illegal under US and international law," the coalition said.
"Using economic pressure against a civilian population as a political tool was unconscionable before this earthquake," they continued. "In its aftermath, any call to tighten that leverage, or to attach political conditions to aid or in exchange for a lifting of economic sanctions must be recognized for what it is—an act of collective punishment against long-suffering civilians who should not face further indiscriminate harm due to US policy."
The coalition said that the Trump administration's limited, temporary unfreezing of some sanctions to allow humanitarian relief transactions was "wildly insufficient," as it did not unfreeze other sanctions that have hamstrung Venezuela's economy.
"The Venezuelan government must be free to receive and allocate earthquake relief and to direct humanitarian support to those who need it most," the letter said. "Anything short of a full lifting of sanctions will hobble the overall response before it gets off the ground."
They called for the US to provide "massive humanitarian assistance" without political strings attached.
They also said the US must release Venezuelan oil revenues held in US accounts and pressure other countries like the UK and Portugal to do so as well.
"This is Venezuela’s money, and it is now urgently needed," the groups said. "Withholding it during a national catastrophe of this magnitude is indefensible."
They also called on the US to lift all sanctions on Venezuela, which they said "impede the delivery of humanitarian goods, reconstruction materials, and financial transfers needed for disaster response and economic recovery."
"The United States has a short window to demonstrate that its relationship with the Venezuelan people is not merely transactional," the letter concluded. "The scale of aid must match the scale of the harm the United States has played a role in creating. Anything less would confirm what many Venezuelans already fear: that American concern for their welfare begins and ends where American geopolitical and economic interests do."
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