Venezuela’s gold position, currently held by the Bank of England, could find itself in a regulatory impasse after the dissolution of Juan Guaidó’s interim government. The 31 tonnes of gold has been the subject of a dispute between current president Nicolás Maduro and Juan Guaido since 2019, when Guaidó merged a parallel government.
Venezuelan gold status at Bank of England unclear
The status of Venezuelan gold stashes guarded in London’s Bank of England vaults is uncertain after the dissolution of the country’s interim government. It was worth more than that and was contested by the two governments of this country. in 2019 after challenging the legitimacy of the presidential election.
British courts Decided The dissolution of the government, which was enacted during the session of the elected Legislative Assembly in 2015, cast doubt on the future potential of this gold and other Venezuelan offshore assets in favor of Guaidó in July, leading some to Legislators believe that Maduro makes valid claims about these.
Deputy Freddy Guevara alluded to this possibility during the session.he said:
There was no prior consultation with the international community regarding the approval of this reform. They have made it clear abroad that the reform does not guarantee the protection of foreign assets. How can I fly into the void?
Seventy-two MPs voted for the dissolution of the Caretaker Government, 29 opposed the measure, and eight MPs abstained.
protective measures
When the interim government was dismantled, a parallel legislative assembly constituted the Board and Asset Protection, tasked with protecting and organizing Venezuelan assets and companies abroad. The Board, united by her five members and backed by parliamentary legitimacy, has full powers to administer these responsibilities.
But the structure is new and has not been included in any of the 52 cases around the world involving more than $40 billion in disputes between the two governments. Deputy Juan Miguel Mateus criticized the idea, saying these assets were not at risk because they are under the control of a government that supports the “democratic struggle” that the Venezuelan people are currently fighting. .
However, this drew fierce criticism from other legislators who argued that the interim government was the only guarantee that these assets would be recovered due to the international recognition that Guaidó had.
What do you think about the future of 31 tonnes of Venezuelan gold stored in the UK? Let us know in the comments section below.
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