Issuance of Venezuela-related General License and Amended Frequently Asked Question | Office of Foreign Assets Control

https://ofac.treasury.gov/recent-actions/20260504
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2026-05-05 13:50:03 · pdonofrio@vixio.com
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TITLE: United States Office of Foreign Assets Control Issues Venezuela-Related General License and Amended Guidance BODY: On May 4, 2026, the United States Department of the Treasury's Office of Foreign Assets Control (OFAC) issued Venezuela-related General License 5W, authorizing certain transactions related to the Petróleos de Venezuela, S.A. 2020 8.5 Percent Bond on or after June 19, 2026. The general license permits specified transactions involving the Venezuelan state-owned oil company's bond instruments. This authorization becomes effective on June 19, 2026. The issuance of this general license represents a modification to OFAC's Venezuela sanctions program, which has been in place to address concerns related to Venezuela's government and economic activities. Simultaneously, OFAC amended Venezuela-related Frequently Asked Question 595 to provide updated guidance on sanctions compliance matters. The amended FAQ clarifies regulatory expectations and procedural requirements for entities engaging in permitted transactions under the new general license. These actions apply to all U.S. persons and entities subject to OFAC jurisdiction, as well as foreign entities conducting transactions involving U.S. persons or the U.S. financial system. The general license provides relief from certain sanctions restrictions, enabling specified financial transactions that would otherwise be prohibited under existing Venezuela sanctions regulations. Entities seeking to engage in transactions authorized under General License 5W should review both the license terms and the amended FAQ 595 to ensure compliance with all applicable requirements and conditions. Additional guidance and resources are available through OFAC's official website and licensing application portal. REFERENCES: Office of Foreign Assets Control, "Issuance of Venezuela-related General License and Amended Frequently Asked Question," May 4, 2026, https://ofac.treasury.gov/
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  • By:pdonofrio@vixio.com (38)