Vantage | Why Venezuela-Guyana spat is less about oil more about politics

In recent weeks, South America has become a focal point of international concern as tensions between Venezuela and Guyana have reached a critical juncture. The root cause of this simmering conflict lies in the contested territory of Essequibo, a region abundant in oil resources. As neighbouring Brazil deploys troops along the border and the United States voices support for Guyana, the region is on edge.

Essequibo’s complex history At the heart of the dispute is Venezuelan president Nicolas Maduro’s audacious claim to two-thirds of Guyana’s territory, specifically targeting the sizable and resource-rich Essequibo region. This assertion has been met with firm resistance from Guyana, sparking fears of a potential conflict. The contested history of Essequibo dates back over a century with Venezuela challenging the border drawn by the British, alleging unjust allocation of Essequibo to Guyana. The discovery of oil off the coast of Essequibo in 2015 has intensified the territorial dispute. Guyana, experiencing a remarkable 62 per cent GDP growth last year, has become one of the world’s fastest-growing economies, predominantly fuelled by its burgeoning oil production. Meanwhile, Venezuela, home to the world’s largest oil reserves, faces economic turmoil, hyperinflation and a desperate need for a financial lifeline. Venezuela’s swift annexation attempt Maduro’s recent referendum, with an astonishing 95 per cent approval rate amid a mere 10 per cent voter turnout, signals a bold attempt to swiftly annex Essequibo. Orders have been issued to explore oil in the region, energy companies have been given a three-month ultimatum to leave and legislation is in the works to integrate Essequibo into Venezuela, offering citizenship to the local population. Guyana’s president Irfaan Ali views this move as a direct threat to his country. “This is a direct threat to Guyana’s territorial integrity, sovereignty and political independence. Guyana views this as an imminent threat to its territorial integrity and will intensify precautionary measures to safeguard its territory,” said President Ali. With Guyana’s defence forces on high alert, the nation has appealed to the UN Security Council for intervention. Concurrently, Brazil has deployed troops along its border with Guyana and Venezuela, heightening the regional military presence. US stands with Guyana Expressing concern over the escalating tensions, the United States has urged a peaceful resolution to the conflict. “We would urge Venezuela and Guyana to continue to seek a peaceful resolution of their dispute. This is not something that will be settled by a referendum,” said US State Department spokesman Matthew Miller. Secretary of State Antony Blinken has not only voiced support for Guyana but has also announced joint air exercises, signalling a commitment to back its ally in the region. As the spectre of war looms, international players are closely watching the situation unfold. Maduro’s gamble: Symbolic posturing or genuine intent? While the potential for large-scale conflict is evident, Maduro’s actions are currently perceived as largely symbolic. Venezuela’s economic and political challenges make a full-scale war unlikely at this point. With Venezuela heading into a presidential election next year, Essequibo might serve as a strategic distraction from the country’s economic collapse and political chaos. Whether Maduro’s gamble pays off or exacerbates the challenges facing the region remains to be seen as South America treads cautiously in these uncertain times. Views expressed in the above piece are personal and solely that of the author. They do not necessarily reflect Firstpost’s views. Read all the Latest News , Trending News , Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.