epa06715897 The president of Venezuela, Nicolas Maduro, speaks before participating in an electoral rehearsal in Caracas, Venezuela, 06 May 2018. The Venezuelan presidential election is scheduled for 20 May.  EPA/Miguel Gutiérrez
President Nicolas Maduro is seeking a second six-year term, and opposition lawmakers have said security forces have physically threatened them and their supporters. EPA/Miguel Gutierrez

Mike Pence asks Venezuela to suspend ‘so-called’ elections



Vice president Mike Pence called on Venezuela to suspend its presidential election later this month because of corruption concerns, declaring that the results would be fraudulent.

The Trump administration joined the European Union in calling on Venezuela to postpone the May 20 election without assurances it will be a free and fair contest. President Nicolas Maduro is seeking a second six-year term, and opposition lawmakers have said security forces have physically threatened them and their supporters.

Mr Maduro, the US vice president said in a speech to the Organisation of American States, “promised people he would restore prosperity but delivered only deep poverty. He promised renewed greatness but he has only brought that nation suffering.”

“The so-called elections in Venezuela scheduled for May 20 will be nothing more than a fraud and a sham,” Mr Pence said. “There will be no real election in Venezuela on May 20 and the world knows it.”

The US also announced new sanctions on three Venezuelans, including Pedro Luis Martin Olivares, a former intelligence official under indictment in Florida on drug trafficking charges, and 20 companies the Treasury Department said were connected to the targeted Venezuelans. The three men were sanctioned under a US law targeting drug kingpins.

Elections in Venezuela are traditionally held in December, but the country’s National Electoral Council scheduled the contest for spring – a move critics say aims to take advantage of divisions within the opposition. The US state department has said not all political parties have agreed to the elections, limiting the ability of individuals to run.

The US continues to weigh whether to ban imports of Venezuelan oil, which accounts for 95 per cent of the country’s foreign-currency earnings. Venezuela, a founding member of Opec, has the world’s largest proven reserves and is South America’s largest oil exporter. It is the third-largest source of America’s imported oil.

Meanwhile, the country’s opposition claimed on Monday that Venezuela’s inflation rate rose by 13,779 per cent in the past year, a study released Monday by the opposition-dominated National Assembly has found.

The figure confirmed other estimates showing that Venezuela has by far the world’s highest inflation rate.

The International Monetary Fund projects that Venezuela’s inflation will top 13,800 per cent this year.

“We are in the country with the highest hyperinflation in the world,” the head of the legislature’s commission, Rafael Guzman, told a news conference. “We need a new fiscal and exchange rate policy to stabilise the money.”

The National Assembly has been reporting Venezuela’s inflation since last year, when the government stopped giving an official figure.

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Why it pays to compare

A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.

Route 1: bank transfer

The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.

Total cost: Dh567.25 - around 2.9 per cent of the total amount

Total received: €4,670.30 

Route 2: online platform

The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.

Total cost: Dh74.10, around 0.4 per cent of the transaction

Total received: €4,756

The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.


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