Venezuela's Economy Maintains Momentum Despite US Attacks

By Misión Verdad – Apr 23, 2025

Despite an environment marked by unilateral coercive measures [euphemistically referred to as “sanctions”] and trade restrictions, the Venezuelan economy is experiencing a sustained process of recovery and growth. This trend is not a response to isolated events but is sustained over time as a result of accumulated efforts, adaptations, and internal transformations. Illegal sanctions and threats of “secondary” tariffs seek to forcibly derail this progress, yet dynamics of resistance have re-energized the Venezuelan national productive apparatus and international investment.

It is worth remembering that at the Fedeindustria 2024 Expo, Venezuelan Vice President and current Minister of Hydrocarbons, Delcy Rodríguez, said, regarding the country’s economic growth: “This is not about improvisation but, rather, a creatively developed plan to overcome the effects of the criminal blockade.”

The current outlook in this area shows that the Venezuelan economy continues to generate positive results across various sectors.

Growth of the national pharmaceutical industry
One of the most illustrative cases of this recovery process amid renewed economic and financial pressure from Washington is the pharmaceutical sector.

During the first two months of 2025, the Venezuelan pharmaceutical market grew by 11.71% compared to the same period last year. A total of 52.69 million items were distributed, representing a per capita consumption of 12 items per year—higher than the Latin American average. This indicates not only improved access but also a strengthening of the distribution system and domestic demand.

This upswing, far from being temporary, is primarily supported by domestic manufacturing laboratories, which accounted for over 97% of the supply, and by the dynamism of the generics sector. The latter grew by 21.05% and now represents 48% of the total market.

These figures are particularly relevant in the context of illegal sanctions that hinder traditional trade dynamics, as they demonstrate how domestic production is emerging as a solid alternative, contributing to the strengthening of sovereignty in a sector strategic for the country’s well-being.

The Venezuelan state, through protection and incentive mechanisms, has managed to boost national laboratories, positioning them as a pillar of the new economic model. In this context, the Pharmaceutical Engine—a strategic initiative included in the 13 Productive Engines of the Bolivarian Economic Agenda—has been key to strengthening this sector.

Special economic zones
The Global Forum for the Promotion of the Paraguaná Special Economic Zone (SEZ) and the Meeting for the Joint Development of the Paraguaná Peninsula were held in Beijing, where more than 130 Chinese companies expressed their willingness to invest in this platform.

The bilateral agenda included a major project with the Chinese financial investment company Huazhi International Holding Group to build five development zones in the industrial, tourism, commercial, and chemical sectors.

Vice Minister Johann Álvarez commented the following at that time: “The SEZs will not only attract capital but will also generate employment and strengthen national production.” Indeed, these structures are conceived as strategic mechanisms to overcome restrictions imposed by the US financial blockade.

The consolidation of SEZs opens the door for foreign direct investment and positions Venezuela as a strategic hub within the global interconnectivity project promoted by China, with the Belt and Road Initiative as its flagship.

Foreign investment on the rise
The multinational company Telefónica has undertaken a strategic withdrawal from Latin America, selling its operations in Colombia, Peru, and Argentina, but has decided to maintain and strengthen its presence in Venezuela with a US $500 million investment between 2024 and 2026.

This capital is intended for technological modernization and the expansion of 4G and 5G networks.

Its subsidiary Movistar not only holds a 54% share of the mobile phone market but also contributed EU €313 million to its profits between 2023 and 2024, reflecting the country’s ability to remain profitable under the illegal blockade.

Meanwhile, as part of strengthened bilateral relations, Turkey has channeled investments into the agri-food sector and plans to reactivate 15 plastics plants with an investment of US $100–200 million.

The trade goal between Venezuela and Turkey is to increase bilateral exchanges from US $800 million to $3 billion within three years. Hayri Kucukyavuz, president of the Venezuelan Association of Independent Industrialists and Entrepreneurs (Musiad Venezuela), stated: “The growth in trade between Venezuela and Turkey has been a success, and our goal is to reach $3 billion in the next three years.”

This scenario highlights the guarantees offered by the Venezuelan state and the growing attractiveness of strategic sectors of the national economy, particularly for stakeholders who value the country’s geographic location, resource endowment, and capacity to respond to complex geopolitical challenges.

E-commerce: the digital leap
The digitalization of billing, the adoption of bank dual cards, and the return of credit cards are driving exponential growth in e-commerce in Venezuela.

Items such as household appliances, clothing, food, and tourism services are leading the expansion, while new sectors like education and healthcare are joining the digital wave. The Chamber of Electronic Commerce (Cavecom-e) notes that, despite the economic context, domestic production has overcome the need for foreign currency management, consolidating this transformation as a sustainable phenomenon.

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According to Richard Ujueta, president of the chamber, the health, education, and tourism sectors have also been incorporated into this dynamic. He highlighted projections that the digital ecosystem will experience exponential growth in 2025 thanks to recent measures focused on billing and credit.

The Venezuelan plan
In short, this summary of the economic landscape highlights the growth of key sectors for the country’s development and reflects the results of the Economic Recovery, Growth, and Prosperity Program launched by President Nicolás Maduro in 2018. The program is designed to ensure sustained growth based on solid pillars: domestic production, import substitution, and the promotion of export-oriented industries.

As the president recently stated when signing the 2025 Economic Emergency Decree, Venezuela has developed a form of economic management based on exceptionalism and strategic vision.

The rise of digital commerce, the strengthening of domestic production, the attraction of foreign investment, and the consolidation of Special Economic Zones all reflect an economy that is resilient amid an international environment marked by sanctions and blockades seeking to hinder its development.

(Misión Verdad)

Translation: Orinoco Tribune

OT/JRE/SL