U.S. Treasury Signals Venezuela’s Return to Dollar-Based Trade System Under Economic Normalization

U.S. Treasury Secretary Scott Bessent stated during a CNBC interview that Venezuela will return to dollar-based transactions as the country moves toward financial reintegration with international markets. Bessent emphasized that the dollar will serve as the central currency for Venezuelan commercial operations, marking a significant shift from the alternative payment mechanisms the country adopted under sanctions pressure. The Treasury official framed Venezuela’s expected return to dollar transactions as part of the Trump administration’s strategy to strengthen the U.S. currency’s role in global commerce.

Bessent explained that financial sanctions forced Venezuela to seek alternative methods for oil commercialization, resulting in reduced revenues from petroleum exports. The Treasury Secretary noted that Venezuela sold crude oil at discounted prices to China and received payments in currencies other than dollars, constraining the country’s ability to capture full market value for its primary export commodity. The inability to conduct transactions through conventional dollar-denominated channels created logistical and financial complications for Venezuelan trade operations over recent years.

The petroleum sector represents the core of Venezuela’s export economy and historically provided the majority of foreign currency earnings. Bessent’s assessment indicates that restoring access to dollar-based financial infrastructure would enable Venezuela to conduct oil sales under more favorable conditions and facilitate connections with international buyers, banks, and investors. The Treasury official suggested that dollar-system access would reduce costs associated with alternative payment structures and provide greater operational stability for cross-border transactions.

Bessent’s remarks arrive as Venezuela prepares to disclose approximately 240 billion dollars in debt obligations, potentially representing one of the largest sovereign debt restructurings in history according to separate financial reports. The Treasury Secretary also mentioned that Iran could return to dollar-based payment systems under potential future agreements, and suggested Russia might have incentives to rejoin dollar-dominated financial circuits following the conclusion of the Ukraine conflict. Bessent argued that the liquidity and depth of U.S. capital markets continue to provide strategic advantages for Washington and its allies, stating the United States should leverage these advantages when engaging with non-aligned nations.