By Admin 
Amid increasing tension with America, several explosions were heard in Caracas, the capital of Venezuela. According to the information, the US Army carried out an air strike in Caracas, after which several explosions were heard throughout the city. After the air strike by the US Army, Venezuelan President Nicolas Maduro and his wife have been captured by America and both are currently in America’s custody.
After the attacks by America, Venezuela also came into discussion because Venezuela has the largest oil reserves in the world, yet it is among the poorest countries. In such a situation, let us now tell you why Venezuela is so poor despite having the world’s largest oil reserves.
The world’s largest oil reserves, yet the situation is bad65558/
According to Al Jazeera report, Venezuela has the world’s largest proven oil reserves. By 2023, Venezuela had about 303 billion barrels of oil. Despite this, Venezuela earns very little from the export of crude oil and is counted among the poor countries of the world. After Venezuela, Saudi Arabia is at second place with 267.2 barrels, followed by Iran with 208.6 barrels and Canada at third place with 163.6 barrels. These four countries together own more than half of the global oil reserves. If compared with America, America has about 55 billion barrels of oil reserves, whereas Venezuela’s reserves are five times more. Despite this, Venezuela is far behind America in oil income. A major reason for this is considered to be international restrictions and limited production.
Why is Venezuelan oil sold at low prices?
Most of Venezuela’s oil reserves are in the Orinoco Belt, where heavy and high density crude oil is found. This type of oil is expensive to extract and process. It also contains high amount of sulfur, due to which this oil is sold at a low price in the international market. The country’s state oil company PDVSA has the entire responsibility of oil production, but due to old infrastructure, lack of investment, mismanagement and international sanctions, Venezuela is not able to take full advantage of its huge oil reserves.
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