|National Assembly head Cabello and President Maduro, with the law establishing Presidential Rule by Decree|
Needless to say, Country Risk, in a country where both the power of the legislature, and the rule of law are both absent, reaches heights not ordinarily seen outside a dictatorship. The major questions circulating this week:
(1) Whether financial institutions will be nationalized. Chavez repeatedly threatened to take this action, when he was in office, and once promised to nationalize the entire banking sector.
(2) Whether the rampant crime, which local law enforcement clearly cannot control, will be the excuse for decrees resulting in the curtailment of human and civil rights, resulting in a police state, rising out of what was once a democracy.
We shall be watching the Venezuelan scene closely this week, to ascertain the reaction of the opposition to what will surely be a large number of decrees, issued from the Presidential Palace.