⏳ Final hours! Save up to 60% OFF InvestingProCLAIM SALE

U.N. aid coordinator halts Venezuela cash transfer programs

Published 2021-01-20, 06:43 p/m
© Reuters. FILE PHOTO: Venezuela's President Nicolas Maduro delivers his annual state of the nation speech in Caracas

CARACAS (Reuters) - The United Nations Office for Coordination for Humanitarian Affairs said on Wednesday it has halted programs in Venezuela that provide cash transfers to the poor via local nonprofit organizations.

The U.N. office known as OCHA is asking the government of President Nicolas Maduro to establish clear rules regarding cash transfers.

"We're working with pertinent authorities so that the (cash transfer programs) are in line with the country's financial/banking regulatory framework with the aim of reactivating them, guaranteeing the safety of humanitarian workers and continuing to support ... vulnerable people," OCHA said in an email.

It added that the suspension does not affect other humanitarian activities in its portfolio, and that it is seeking to provide other types of benefits to those who have been receiving cash transfers.

Venezuela's information ministry did not reply to requests for comment.

The decision follows Venezuela's detention of five members of HIV-prevention organization Blue Positive who now face charges including criminal association and money laundering, according to local media reports.

Blue Positive was not part of the OCHA cash transfer programs, according to the sources.

But the detentions followed a spate of police raids on nonprofit organizations, which the United Nations High Commission on Human Rights described as "disconcerting" in a statement earlier this month that called on Venezuela to stop harassing aid workers.

In its 2020 Humanitarian Response Plan, OCHA said it expected to provide $57.8 million to 32 Venezuelan organizations for distribution via cash transfers, seeking to provide relief for the country's ongoing humanitarian and economic crises.

Relief organizations worldwide are moving toward cash transfers to help poor citizens meet basic needs such as acquiring food while cutting costs associated with delivering supplies themselves.

But Maduro's government has been suspicious of foreign aid.

Opposition leader Juan Guaido last year created a program that made several monthly deposits of $100 to a group of health workers using funds seized in the United States, angering ruling Socialist Party officials.

© Reuters. FILE PHOTO: Venezuela's President Nicolas Maduro delivers his annual state of the nation speech in Caracas

Local minimum wage for most of 2020 was around $1 per month.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.