Venezuelan lawmakers on Thursday approved a bill to regulate the country’s mining sector as it seeks to lure foreign investment into its mineral-rich southern reaches still rampant with criminal activity.
“Venezuela’s new mining law opens a frontier long shielded from outside scrutiny by armed groups,” said Bram Ebus, a consultant for International Crisis Group in Latin America. “The legislation has changed and Venezuela is now courting foreign investors, but conditions in the mines remain unchanged.”
The legislation is the latest move by acting President Delcy Rodríguez to lure foreign investment since the U.S. military captured then-President Nicolás Maduro. The bill will now undergo a review by the country’s high court to determine if it is constitutional.
The bill lays out a regime to regulate mineral rights; establish small-, medium- and large-scale mining categories; and allow for independent arbitration of disputes, which foreign investors view as key to guard against the government seizing their assets. It also bans the president, vice president, ministers, governors and others from holding mining titles.
