Trump imposes hard-hitting economic sanctions on Venezuela

The United States has imposed potentially hard-hitting economic sanctions on Venezuela, barring banks from any new financial dealings with the government or state-run oil company PDVSA.

The White House on Friday announced President Donald Trump had signed an executive order "imposing strong, new financial sanctions” on the government of Venezuela.

"The president's new action prohibits dealings in new debt and equity issued by the government of Venezuela and its state oil company," it said in a statement.

"It also prohibits dealings in certain existing bonds owned by the Venezuelan public sector, as well as dividend payments to the government of Venezuela,” it added.

The White House said that the measures “are carefully calibrated” to deny the government of President Nicolas Maduro “a critical source of financing to maintain its illegitimate rule, protect the United States financial system from complicity in Venezuela’s corruption and in the impoverishment of the Venezuelan people, and allow for humanitarian assistance.”

The new measures announced by the White House prohibit business dealings with the government of Venezuela and its state oil giant, the cash-cow of the country. It also bars dealings in certain existing bonds owned by the Venezuelan public sector.

Venezuela’s Foreign Minister Jorge Arreaza denounced the new US sanctions as the "worst aggression" against the Venezuelan people.

He said on Friday that Washington was trying to stoke a humanitarian crisis in the South American nation. He described the US threats as uncivilized policies.

"We don't understand it," Arreaza said after he held talks with UN Secretary General Antonio Guterres.

SS