What Maduro’s capture means for global oil prices and economic stability

EXPERTS have raised alarm over the potential global economic and energy market consequences following reports that the United States launched a military operation in Venezuela over the weekend, resulting in the capture of President Nicolás Maduro.

- YOGASHEN PILLAY

EXPERTS have raised concern about the global impact on economies and oil prices following the United States attack on Venezuela and capture of President Nicolás Maduro over the last weekend.

(JUAN BARRETO AFP)

Dr Sakhile Hadebe, a lecturer in Political Science and International Relations at the University of KwaZulu-Natal (UKZN), on Tuesday said the reported US action represents a dangerous turning point in the global political economy, with implications far beyond Venezuela.

"While framed in Washington as a targeted intervention, the ripple effects extend far beyond Caracas, particularly for an already fragile global economy," Hadebe said.

"The most immediate impact would be felt in energy markets. Venezuela holds some of the world's largest proven oil reserves, yet years of sanctions and underinvestment have already constrained its output."

Hadebe added that any military disruption, whether to infrastructure, ports, or export routes, would inject fresh volatility into global oil prices.

"Even if Venezuelan supply is marginal in current volumes, markets trade on expectations and risk perception. A sharp spike in prices would therefore be less about barrels lost and more about geopolitical uncertainty priced in by traders," he said.