As Venezuela continues to face immense political and economic turmoil, the appeal of the board of the Venezuelan Central Bank (BCV) appointed by the country’s President Nicolas Maduro will soon be decided regarding the Venezuelan gold ‘kept’ in the Bank of England.
The hearing, which closed on May 24th, 2021, was the latest development in a string of legal proceedings initiated by the Maduro-appointed BCV board in an attempt to reclaim the Venezuelan gold stored in the Bank of England. The gold, estimated to be worth around $1 billion, has been in the Bank of England’s vaults since the late 2000s when the BCV purchased it from a US bank.
Venezuelan gold has been the subject of heated debate in recent years as the country has been amid an economic crisis. In 2019, the Bank of England refused to release the gold to the Maduro-appointed BCV board, instead recognizing the legitimacy of the internationally-recognized government of Juan Guaido.
The BCV board, however, has argued that the gold is the property of the Venezuelan people and must be returned to its rightful owners. They further discussed that the Bank of England has no legal right to withhold the gold, as the purchase of the gold was made following the country’s laws.
The court proceedings, which have been ongoing since 2019, will be decided in the coming weeks. The result of the proceedings has a significant impact on the future of Venezuela, as the gold could be used to help alleviate the economic crisis the country is facing.
Regardless of the outcome, it is clear that the Venezuelan gold stored in the Bank of England is a highly contentious issue. The dispute over gold has become a symbol of the country’s political and economic turmoil, and the court’s decision will no doubt be closely watched by both sides.
