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Russia will increase investments in Venezuela

Date: July 12, 2024 Time: 17:30:58

Venezuela is the country with the largest proven oil reserves on the planet. And Russia’s main strategic partner in Latin America. Despite this, the volume of trade between our countries, according to experts, is still far below its potential. How to strengthen cooperation in various fields? For example, in the field of energy and oil production, pharmaceuticals, agriculture, education and tourism. Participants in the “Russia-Venezuela” session of the XXVII International Economic Forum in St. Petersburg tried to find answers to these questions.


Both Russia and Venezuela are going through a difficult period. Western sanctions affected both countries. And each country finds its own ways to get out of a difficult situation. Working together and expanding bilateral relations can help develop the economies of both countries.

– No intrigue or sanction broke us or the Venezuelans. On the contrary, they helped the people of our countries, governments and businessmen to find internal strength to increase national production,” said Alexander Shchetinin, director of the Latin American department of the Russian Foreign Ministry.

And if the Russian economy, despite sanctions, is growing, the Venezuelan economy is in a more difficult situation.

– The sanctions had a very strong impact on the state of our economy after 2015. Their objective was to paralyze, strangle the central government of our country,” said José Félix Rivas Alvarado, Vice President of Economy, Minister of Popular Power for Industry and the National Production of Venezuela.

In particular, the country’s authorities must resolve the issue of supplying the population with food and medicine.


– We, as a tropical country, do not produce wheat, but we have a huge tradition of consuming it. Russia is our largest supplier. “She supplies us with excellent quality wheat,” said Vilmar Alfredo Castro Soteldo, Minister of Popular Power for Agriculture and Lands of Venezuela.

At the same time, Russian companies came to the aid of a friendly state at a time when some Western companies refused to cooperate and thus put ordinary Venezuelans at risk.

– In 2019, Western companies, despite the fact that this is a very sensitive social area, suspended the supply of insulin to Venezuela and payments from Western banks were blocked. Now we are constantly working together to solve the problem of ensuring the national security of medicines in Venezuela,” said Irina Yemchenko, director of international business development at Geropharm.


As in other parts of the world, economic growth depends directly on attracting investment, including foreign investment.

“We count on foreign and national investors to strengthen our export potential, create foreign exchange reserves through exports, and at the same time strengthen the country’s industrial base,” said José Félix Rivas Alvarado.

In particular, there is great interest in developing cooperation in the agricultural sector. Here we have many years of experience to share. Even despite different weather conditions.

– Russia does an excellent job in the production of mechanization equipment. These are, in particular, irrigation systems. In addition, livestock and plant genetics are also its strengths. Here we can also be strategic partners,” said Wilmar Alfredo Castro Soteldo.

Russian companies are interested in investing money in projects in Venezuela. But there is still no clear understanding of how to do it.

– A Russian businessman as an investor does not understand how to work there for a long time, how to go there, who will provide him with insurance. I appeal to the representatives of our federal executive bodies: there must be a state push,” said Vladimir Padalko, vice-president of the Russian Chamber of Commerce and Industry.

– We have it all: natural resources, human resources, scientific base, necessary technologies. Obviously, if we join forces, we can do it much faster and more,” says Sergei Yarosh, president of the Russia-Venezuela Business Council.


Since both countries are under US sanctions, mutual agreements have long since switched to national currencies. Dependency on the US dollar is now minimal.

– The most important thing we have is the movement of funds in one direction and another. We do not have that comfort with any Latin American country, we have to take advantage of it,” explained Vladimir Padalko.

– Our foreign exchange market opens up opportunities to buy local currency and carry out transactions in rubles. We have businessmen from Venezuela, there are government agencies that can also make payments in rubles. This is already a reality,” said Calixto José Ortega Sánchez, president of the Central Bank of Venezuela.


One of the most promising areas of growth is tourism. Furthermore, traveler flows can move in both directions. For Russians, the exotic beauty of the Latin American country is attractive. And for residents of Venezuela, the architecture of St. Petersburg and Moscow, as well as the natural beauty of Siberia and the Far East, are attractive. Especially winter ones.

– Our president, among the different economic drivers, pointed to tourism as our “secret weapon.” But he has suffered a lot from the sanctions, lamented Alí Padrón, Venezuela’s Minister of Popular Power for Tourism.

For example, there are already direct flights and tours to Margaret Island from Russia. And then the tourists are constantly growing. Even in the opposite direction.

– During the World Cup, the flow to Saint Petersburg from Venezuela and Latin America increased by 30%. A winter route to Latin America was then developed separately. We know from the statistics we had that the flow was constantly increasing. We are ready to accelerate the pace of our cooperation,” explained Evgeny Pankevich, deputy chairman of the Tourism Development Committee of the Government of St. Petersburg.


From June 5 to 8, 2024, the XXVII Saint Petersburg International Economic Forum was held. The motto of the event is “The basis of a multipolar world is the formation of new growth points.” During four days at the forum, 982 agreements were signed for a total amount of 6.43 trillion rubles. This is almost double what it was a year ago. This time 21.3 thousand guests from 139 countries participated in the SPIEF events. The largest delegations came from China, the United Arab Emirates, Zimbabwe, Kazakhstan and India.

* This website provides news content gathered from various internet sources. It is crucial to understand that we are not responsible for the accuracy, completeness, or reliability of the information presented Read More

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.

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