Venezuela's entrepreneurs are looking beyond oil as the country's economic future takes shape amidst ongoing turmoil and US pressure on its leadership.
The notion of $100 billion in investment from American oil firms to revive Venezuela's devastated sector has garnered little enthusiasm among industry executives, who cite concerns about political risk and crumbling infrastructure. However, business leaders see a glimmer of hope in other sectors, which could attract foreign investment if the country stabilizes and becomes more attractive to investors.
Francisco Litvay, founder of Sudamerica Hub, acknowledges that Venezuela's startup ecosystem is currently negligible compared to regional peers but believes the upside could be enormous. A stable political environment would enable a meaningful return of Venezuelans abroad, reigniting domestic consumption and sparking growth in sectors such as agribusiness, real estate, and technology.
Litvay points to local companies like Yummy and Cashea, along with the Venezuelan Association of Private Capital, as examples of forces keeping the startup ecosystem alive despite severe constraints. He also sees Caracas as a potential regional hub for startups, rivaling cities like Medellín and Mexico City.
Stephany Oliveros, a Venezuelan entrepreneur who fled in 2017, believes that political stabilization could give rise to what she describes as a "reconstruction market." While the oil infrastructure will take years to restore, other sectors such as fintech, logistics, workforce upskilling, energy reliability, healthcare access, and consumer-facing apps may see early opportunities.
Oliveros notes that companies that can reliably serve the returning professional diaspora are likely to succeed. She also argues that Venezuela's history of improvisation and adaptability could be an asset in rebuilding its economy.
Despite this cautious optimism, several obstacles remain to making Venezuela attractive to investors. The need for credible economic reforms and the removal of corrupt institutions is paramount, according to Litvay. Even if conditions improve, unreliable infrastructure, shallow local capital markets, and sudden policy shifts pose significant challenges.
The last available World Bank Ease of Doing Business ranking placed Venezuela 188th out of 190 countries, highlighting the country's complex and unfriendly business environment. Oliveros emphasizes that even with improved politics, investors still face heavy compliance overheads and policy changes.
Ultimately, Venezuela's future is uncertain, but entrepreneurs like Litvay and Oliveros remain hopeful about its potential for growth and transformation, much like South Korea did in its own development journey.
The notion of $100 billion in investment from American oil firms to revive Venezuela's devastated sector has garnered little enthusiasm among industry executives, who cite concerns about political risk and crumbling infrastructure. However, business leaders see a glimmer of hope in other sectors, which could attract foreign investment if the country stabilizes and becomes more attractive to investors.
Francisco Litvay, founder of Sudamerica Hub, acknowledges that Venezuela's startup ecosystem is currently negligible compared to regional peers but believes the upside could be enormous. A stable political environment would enable a meaningful return of Venezuelans abroad, reigniting domestic consumption and sparking growth in sectors such as agribusiness, real estate, and technology.
Litvay points to local companies like Yummy and Cashea, along with the Venezuelan Association of Private Capital, as examples of forces keeping the startup ecosystem alive despite severe constraints. He also sees Caracas as a potential regional hub for startups, rivaling cities like Medellín and Mexico City.
Stephany Oliveros, a Venezuelan entrepreneur who fled in 2017, believes that political stabilization could give rise to what she describes as a "reconstruction market." While the oil infrastructure will take years to restore, other sectors such as fintech, logistics, workforce upskilling, energy reliability, healthcare access, and consumer-facing apps may see early opportunities.
Oliveros notes that companies that can reliably serve the returning professional diaspora are likely to succeed. She also argues that Venezuela's history of improvisation and adaptability could be an asset in rebuilding its economy.
Despite this cautious optimism, several obstacles remain to making Venezuela attractive to investors. The need for credible economic reforms and the removal of corrupt institutions is paramount, according to Litvay. Even if conditions improve, unreliable infrastructure, shallow local capital markets, and sudden policy shifts pose significant challenges.
The last available World Bank Ease of Doing Business ranking placed Venezuela 188th out of 190 countries, highlighting the country's complex and unfriendly business environment. Oliveros emphasizes that even with improved politics, investors still face heavy compliance overheads and policy changes.
Ultimately, Venezuela's future is uncertain, but entrepreneurs like Litvay and Oliveros remain hopeful about its potential for growth and transformation, much like South Korea did in its own development journey.
it's crazy how much pressure from the US has affected their economy already, you'd think they could try to attract investment elsewhere but i guess when you've been stuck in one industry for so long it's hard to break free 
still, i'm optimistic about the startup ecosystem, if they can get some infrastructure sorted out and make it easier for entrepreneurs to do business then who knows? 
maybe venezuela could become a regional hub like medellín or mexico city 
. They need to diversify and attract new investments in sectors like agribusiness, tech, and real estate. It's not gonna be easy tho... the US pressure is a big thing, but they gotta get their act together if they wanna show investors that it's safe to put their cash in 
. I mean, who wouldn't want to invest in a country with some of the best startup talent outside of Latin America? 
. And hey, if they can make it work like South Korea did, why not them? 
Distracted boyfriend: "I'll invest in Venezuela when I've finished fixing my country" 
... but politics gotta step up their game 1st... i mean 100 billion from american oil firms? come on, thats just gonna perpetuate the same cycle of corruption & dependency... Venezuelan entrepreneurs need ppl to believe in them & their economy, not just some handouts 
. I love how she's all about the diaspora thing - that's super smart business strategy.
The World Bank ranking might look bad, but it doesn't mean everything is lost. I'm all about giving people and businesses a chance to prove themselves.
. Venezuelans abroad have skills and capital to bring back home. Still, you gotta get those reforms in place first 
. Can't just sprinkle fairy dust on Venezuela's problems 
.
What if they're actually planning something else? Like, have you seen the World Bank Ease of Doing Business ranking? 188th out of 190 countries? That's not exactly a ringing endorsement. And don't even get me started on the corrupt institutions and policy shifts... it's like they're trying to make it impossible for anyone to succeed. I'm keeping an eye on this one, folks...
... thinkin' maybe venezuela can learn from south korea's journey and just adapt to the situation instead of trying to change everything at once 
The fact that there are people like Francisco Litvay and Stephany Oliveros who are still optimistic about the future is a good sign. They're thinking about how they can create jobs, stimulate growth in areas like tech and agribusiness... it's like, they're not just waiting for the government to fix everything, they're trying to take charge and make things happen themselves 
