Government announces new measures to boost economy and facilitate access to credit

The Venezuelan government recently announced a series of measures to boost corporate financing and facilitate access to credit and insurance policies. At a meeting with representatives of the banking, insurance and securities markets, the policies were outlined to strengthen the economy and meet the needs of the financial system.

Executive Vice President Delcy Rodríguez reports that the Central Bank of Venezuela (BCV) has agreed to reduce banks’ statutory reserves. This adjustment will allow banking entities to have more resources to grant loans. “This measure aims to increase the availability of financial intermediation resources,” explained Rodríguez. In addition, a digital interbank foreign exchange market will be launched to facilitate currency buying and selling operations and meet market needs more efficiently.

In the insurance sector, Rodriguez announced the immediate promulgation of the provisions of the Organic Insurance Law, aimed at revitalizing the sector. Low-cost policies will also be sold through the banking system, aimed at expanding people’s access to these products. These actions are aimed at diversifying distribution channels and making insurance policies more accessible.

President Nicolas Maduro stressed that the measures are part of a broader effort to accelerate the country’s economic recovery. Maduro said capital investment in Venezuela grew 16% in the first half of the year, outstripping the growth of gross domestic product (GDP). “If there is no trust, no one will invest,” the president said, stressing the importance of creating a favorable environment for domestic and foreign investment. He also stressed the need to democratize access to credit and support economic sectors that contribute to growth.

The government has also decided to resume the use of cryptocurrencies as part of its economic strategy. Maduro said the measure is part of the reality of a “multi-currency” world. “We will return to the path of cryptocurrencies,” he said, emphasizing the importance of diversifying the country’s currency options.

Finally, plans were announced to provide 1.3 million loans to entrepreneurs. Rodriguez said the new risk management system will allow 300,000 financings to be provided to new businesses, while President Maduro confirmed that the state will provide 1 million additional loans. Although the exact details of these measures have not yet been disclosed, they are expected to be published in the Official Gazette soon.