The Caribbean’s economic difficulties and the ongoing energy crisis have pushed these countries closer to autocratic Venezuela’s sphere of influence
Leonardo Di Bonaventura-Altuve
National Interest | July 23, 2022
On July 5, the Caribbean Community (CARICOM), which comprises twelve Anglophone Caribbean states plus Haiti and Suriname, held its forty-third Heads of Government Meeting, the community’s principal political organ. The meeting’s agenda focused on the recurring energy and food crises faced by these small states due to the Russian invasion of Ukraine. Specifically on the energy front, a unified CARICOM collectively asked for help from authoritarian Venezuela through PetroCaribe, a geo-economic tool created in 2005 by the late President Hugo Chávez to buy CARICOM’s loyalty by financing participants’ oil imports and increasing intra-bloc trade and investment. In exchange, the highly democratic CARICOM ignored Venezuela’s descent into authoritarianism and shielded the regime from condemnation in multilateral organizations like the Organization of American States (OAS).
After the 2014 global oil price slump, chronic fiscal mismanagement, and U.S. sanctions, the ability of President Nicolás Maduro to buy CARICOM’s support virtually disappeared. However, given CARICOM’s current urgency for cheap oil and leveling off in Venezuela’s oil production, PetroCaribe is likely to return from the dead. The re-marriage of CARICOM and Venezuela will likely hurt democracy prospects in the South American nation and, critically, continue to show the United States’ hegemonic decline in the hemisphere.
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