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VENEZUELA


VENEZUELAN HISTORY AND GOVERNMENT.

History
Originally inhabited by Carib and Arawak Indians, Venezuela was claimed as a Spanish territory by Christopher Columbus in 1498. Spanish rule was administered from a distance, leaving the various regions to develop separately from the capital, Caracas, which was founded by Diego de Losada in 1567. In the 18th century, an attempt to inject a measure of unification by the Spanish was met with widespread resistance and uprisings led by Simon Bolivar. In 1830, Venezuela became a sovereign state, led by Jose Paez. The precise territorial limits were not, however, well defined and Venezuela’s borders have since been the subject of periodic disputes with its neighbours.

The dictatorship of Juan Vincente Gomez, between 1909 and 1935, was a period of rapid economic development. This was largely driven by the exploitation of the country’s substantial oilfields, which began in 1918. Venezuela is now essentially an oil economy and the national producer, PDVSA, is one of the world’s largest companies (see Economy). In 1936 and 1937, Venezuela held democratic elections for the presidency and National Assembly for the first time but the experiment in pluralism lasted only until 1945. The first of a rapid succession of military dictatorships lasted until 1961. That year, the current Venezuelan constitution came into force.

From then until the 1990s, Venezuelan politics were dominated by the struggle between the Partido Social Cristiano, known as COPEI, and the social democratic Accion Democratica (AD). Following the 1973 price hike, Venezuela had enjoyed the benefits of large oil revenues accruing throughout the 1970s, and ran up a substantial overseas debt (although not on the scale of those burdening other Latin American countries). The country’s oil wealth was far from evenly distributed a relatively small section of the population enjoyed the benefits, while the vast majority was excluded. In the 1980s, successive governments struggled to stabilise the country and the economy in the face of persistent social and labour unrest, as well as external pressure from creditors pursuing scheduled loan repayments. At the turn of the 1990s, the government’s opponents found support from sections of the army, who considered themselves ill-equipped and badly paid. In February 1992, a number of army units launched a completely unexpected military coup. It was suppressed by the majority of the armed forces, which remained loyal to the government. However, the Perez government was fatally undermined and it was little surprise when he was removed from office by Congress the following year, before completing his term of office. Elections at the end of 1993 resulted in Rafael Caldera, who had served as president in the mid-1970s, assuming the post once again.

Meanwhile, the leader of the 1992 coup attempt, Colonel Hugo Chavez, was seeking to establish himself as a national political figure, drawing on the support of millions of disaffected poor people, who had been disregarded during the oil boom. The established parties, dominated by wealthy and increasingly corrupt interests, held little attraction for them. In 1997, Chavez announced the formation of his own party, the Movimiento Quinta República (MVR, the Fifth Republic Movement), and his candidacy at the 1998 presidential election. He won, while his party with the support of other smaller groupings was able to take control of the national assembly. Further polls in July 2000 secured his position and de facto, an endorsement of the constitutional changes that he planned to increase presidential powers.

Chavez’s problems now began in earnest. Always a controversial figure, as a result of the 1992 coup attempt and his courting such heads of state as Iraq’s Saddam Hussein and Cuba’s Fidel Castro, Chavez has attracted powerful enemies both inside and outside Venezuela. In April 2002, a right-wing alliance of dissident military officers and prominent businessmen led by Pedro Carmona launched a coup against Chavez. At first, it appeared to be successful but, within 24 hours, the plotters had been outmanoeuvred and Chavez returned to office. Many believe that the United States had a major hand in the plot and while that remains unproven, there is no doubt that the Bush administration would be happy to see the back of Chavez.

The government was certainly shaken by the coup. The economy was already facing serious difficulties following a currency collapse in February 2002 and the country was now close to a serious recession. Then, in December 2002, the opposition tried a different strategy. With the support of key union leaders, especially in the all-important oil industry, Venezuela was brought to a virtual standstill by a general strike. By the end of February 2003, after more than two months of paralysis, the strike appeared to be petering out, while Chavez who still has the backing of the army has tried to stabilise the country. The final outcome, at the time of writing, remains uncertain.

Some observers have drawn attention to the similarities between the Venezuelan situation and the 1973 coup in Chile, which began in a similar fashion.

Government
A ‘national constitutional assembly’ was convened in July 1999, to rewrite the country’s constitution. Executive power is vested in the president, who is popularly elected for a six-year term. The legislature is the unicameral Asemblea Nacional, whose 165 members are directly elected to serve a five-year term.

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