The Government seeks an exit to survive the sanctions, begins the release of the economy
From the implementation of the control of changes carried out in 2003, a wide range of laws were proclaimed, including decrees, regulations, decrees-laws, ministerial resolutions and orders that began to replace the laws of supply and demand and the mechanism ofprices as regulators of economic activity. Arbitrariness began to arouse the interpretation of the norm, also, abuse in the application of sanctions, creating an environment of excessive legal insecurity.
Also the raids to industrial and commercial establishments were present, in addition to the confiscation and auction of inventories, the violation of property rights and in the constant imprisonment of managers and owners generating a more hostile environment., putting the productive entrepreneurship at stake.
On the other hand, the framework of controls and sanctions was leading to a cultivation broth where influences, extortion and excessive collection of commissions known as "vaccines". Here the bad management of corrupt officials that contribute to disorder through bribery is also manifested, and what is not a secret the official procedures required for any entrepreneurship are governed by complicated requirements that generate delays.
For their part, public institutions have become fiefs where the mafia that traffic and highA document is sometimes unattainable.
The country’s economic liberalization
The government has knowledge that to increase its life expectancy, more support has to obtain and resort to allies such as correcting deviations and errors of economic policy.
Likewise, to obtain investments that come from other countries such as China, Russia, Turkey or Iranians, the government is going to improve the legal framework and the institutional environment, with this it intends to lower the risk of the country, the end is to offer legal certainty and legal security andguarantee property rights. Not to apply this, those investors will not come to Venezuela.
For the despite many, the survival of a government that no longer has the flow of oil income and whose collapse has been affected by commercial and financial sanctions, induced it to loosen the controls and release the economy.
Obviously the government tries to undermine the fall in income and the impact of sanctions by lifting the controls and the release of the economy, seeking to reactivate and generate fiscal income that oil no longer provides and that cannot obtain throughof the inflation tax. Those are your goals.
Leave feedback