U.S. eases sanctions, authorizes telecommunications operations in Venezuela

The United States has further relaxed its sanctions regime on Venezuela by authorizing specific telecommunications operations. The Office of Foreign Assets Control (OFAC), part of the U.S. Department of the Treasury, issued General License No. 61, enabling American companies to engage in activities crucial for Venezuela's communication infrastructure.

The license permits U.S. firms to supply necessary goods, technology, software, and services for the installation, maintenance, repair, upgrading, and operation of telecommunications systems within Venezuela. This includes transactions with Venezuelan state-owned entities such as the National Telecommunications Commission (Conatel) and the National Telephone Company of Venezuela (Cantv), provided the contracts meet Washington's stipulated conditions.

Authorized operations encompass a wide range of services, including data, telephony, internet connectivity, radio, television, news services, and similar offerings. The scope also extends to infrastructure like submarine cables and telecommunications systems, as well as interconnection and roaming agreements, capacity leasing, logistics, and software maintenance.

However, the license imposes significant restrictions. It explicitly prohibits operations involving individuals or entities connected to Russia, Iran, North Korea, Cuba, or China. Furthermore, it bars the formation of joint ventures in Venezuela for developing or investing in the telecommunications sector. Companies utilizing this license must report their operations, including involved parties, supplied goods or services, their values, and any payments made to the Venezuelan government, to U.S. authorities.