The White House

Office of the Press Secretary

For Immediate Release
August 25, 2017

Statement by the Press Secretary on New Financial Sanctions on

Venezuela
President Donald J. Trump has signed an Executive Order imposing strong, new financial sanctions on the
dictatorship in Venezuela.

The Maduro dictatorship continues to deprive the Venezuelan people of food and medicine, imprison the
democratically-elected opposition, and violently suppress freedom of speech. The regimes decision to create an
illegitimate Constituent Assemblyand most recently to have that body usurp the powers of the democratically-
elected National Assemblyrepresents a fundamental break in Venezuelas legitimate constitutional order.

In an effort to preserve itself, the Maduro dictatorship rewards and enriches corrupt officials in the governments
security apparatus by burdening future generations of Venezuelans with massively expensive debts. Maduros
economic mismanagement and rampant plundering of his nations assets have taken Venezuela ever closer to
default. His officials are now resorting to opaque financing schemes and liquidating the countrys assets at fire
sale prices.

As Vice President Mike Pence has said, in Venezuela, were seeing the tragedy of tyranny play out before our
eyes. No free people has ever chosen to walk the path from prosperity to poverty. No free people has ever
chosen to turn what was once, and should still be, one of South Americas richest nations into its poorest and
most corrupt.

We will not stand by as Venezuela crumbles. The Presidents new action prohibits dealings in new debt and
equity issued by the government of Venezuela and its state oil company. It also prohibits dealings in certain
existing bonds owned by the Venezuelan public sector, as well as dividend payments to the government of
Venezuela.

To mitigate harm to the American and Venezuelan people, the Treasury Department is issuing general licenses
that allow for transactions that would otherwise be prohibited by the Executive Order. These include provisions
allowing for a 30-day wind-down period; financing for most commercial trade, including the export and import of
petroleum; transactions only involving Citgo; dealings in select existing Venezuelan debts; and the financing for
humanitarian goods to Venezuela.

These measures are carefully calibrated to deny the Maduro dictatorship a critical source of financing to
maintain its illegitimate rule, protect the United States financial system from complicity in Venezuelas
corruption and in the impoverishment of the Venezuelan people, and allow for humanitarian assistance.

The United States is not alone in condemning the Maduro regime. Through the Lima Declaration of August 8, our
friends and partners in the region refused to recognize the illegitimate Constituent Assembly or the laws it
adopts. The new United States financial sanctions support this regional posture of economically isolating the
Maduro dictatorship.

The United States reiterates our call that Venezuela restore democracy, hold free and fair elections, release all
political prisoners immediately and unconditionally, and end the repression of the Venezuelan people. We
continue to stand with the people of Venezuela during these trying times.