US loosens Venezuela sanctions following devastating earthquakes

The US Department of the Treasury announced that it will temporarily authorize transactions with Venezuela related to earthquake relief efforts that would otherwise be prohibited under US sanctions.

The decision follows a powerful double earthquake that struck Venezuela overnight, leaving at least 188 people dead and more than 1,500 injured.

The Treasury's Office of Foreign Assets Control (OFAC) said it had issued a general license allowing such transactions through 12:01 a.m. Eastern Daylight Time on October 23, 2026.

"All transactions related to earthquake relief efforts in Venezuela that would otherwise be prohibited by the VSR are authorized through 12:01 a.m. Eastern Daylight Time on October 23, 2026," the OFAC notice states.

According to the Treasury Department, the authorization permits the processing and transfer of funds on behalf of third-country individuals and entities "to or from" Venezuela, provided the transactions directly support activities covered by the license.

However, OFAC emphasized that the measure does not authorize "the unblocking of any blocked property" under the Venezuela Sanctions Regulations (VSR), "nor any other transaction or activity prohibited by any other US executive order" unless specifically authorized under the general license.

Earlier on June 25, the US government announced a $150 million aid package to support Venezuela's response to the twin earthquakes, measuring 7.5 and 7.2 in magnitude, which struck the country during the previous night.

By Vafa Guliyeva