As we were driving through the streets of Boa Vista some months ago, and we gazed upon the hundreds of Venezuelans dwelling in the streets and pavements, I said to my friend, “this is 8th wonder of the world!”
Indeed, it is a marvel that a country so rich in resources, and a people once so productive and glorious could end up like this! What could be the cause of this? There are many speculations.
However, needless to say, US Sanctions have played a major role in bringing the Venezuelan economy down to the gutter, and the Venezuelan currency, the Bolivar, is now valued at 250,000 to 1 USD!
But Nicolas Maduro says he has a plan which he has been working on for about two years now: a new weapon which he hopes will lift Venezuela out of the economic rubble. What is it? Drumroll…welcome…the Petro!
What is the Petro?
The Petro is a new cryptocurrency which Maduro has already ordered all banks to issue and use as alternative to the now useless Bolivar. The Petro will be backed by Venezuela’s vast oil and mineral wealth, and there is high hopes that it will help to circumvent US Sanctions. “Cryptocurrency” means that the money exists only in digital format – that is, in a computer or mobile phone. It is virtual money. It can’t be seen or touched, except through the use of digital icon.
The Petro Gains Traction
Maduro has this Thursday, 19th of September 2019, ordered that the construction of 4000 houses be funded using the Petro. This project is called the “Great Housing Mission Venezuela” and was set up by Maduro’s predecesor – the late Hugo Chavez.
This move is definitely going to stir up economic activities in Venezuela. It is indeed a small step for Maduro’s toddler – the Petro – which he hopes will grow into the Venezuelan hero that will save Venezuela from international Sanctions.
However, as of date, very few companies accept the Petro as a form of payment and its use is very limited.
The question is: will the Petro live up to Maduro’s expectations or will this be just another pipe dream? Only time will tell.
Meanwhile, Donald Trump is calling a meeting with Latin American Leaders this Wednesday, 25th of September, 2019 to push harder for a military invasion of Venezuela.
Only God knows what will happen next.
