TechFlow News, March 24: According to a Reuters report, Venezuela continues to face a severe shortage of U.S. dollars. Small and medium-sized enterprises (SMEs) have repeatedly been excluded from official foreign exchange auctions, forcing them to turn to informal markets and cryptocurrencies to sustain their import procurement.
Local analysts estimate that the total value of U.S. dollar auctions conducted through official channels between mid-January and early March 2026 amounted to approximately $1.3 billion—down 13% year-on-year compared to the same period in 2025. Several businesspeople interviewed reported that large food, pharmaceutical, beverage, and chemical companies enjoy priority allocation in these auctions, whereas medium-sized pharmaceutical, chemical, plastic, and technology suppliers routinely receive no allocations at all—and are never provided explanations for rejected bids.
Due to sanctions, Venezuelan banks are largely cut off from the global financial system, rendering wire transfers and international payment platforms unusable. Some SME owners stated that, after encountering obstacles in official channels, they have resumed relying on cryptocurrencies for cross-border payments—even though they previously viewed cryptocurrencies solely as an emergency contingency measure.
