Venezuela seeks to rebuild oil industry through private sector reforms

Following political developments in early 2026, there is growing support in Venezuela for reforming the nation's productive model. An IPSE Institute survey conducted between June and July 2026 indicates that a majority of Venezuelans support reforms allowing greater private sector participation in the oil industry.

Participants in the study expressed belief that such an opening could increase state revenue, improve transparency, and reduce corruption, without identifying significant risks. This shift aligns with global energy geopolitics and the United States' interest in long-term energy security, creating a potential opportunity for Venezuela to attract the capital, technology, and expertise necessary to rebuild its oil and gas sector.

However, reconstruction efforts face significant hurdles due to the institutional, economic, and political legacy of the Chavismo era. Decades of disinvestment, mismanagement, and the collapse of public services have severely compromised the productive capacity of PDVSA and the country's hydrocarbon production.