Venezuela, Greenland and Why The Rich Gathered in Davos Aren't Going to Change Anything
Capitalism always taught us that market economy and fair play were its founding principles. That anybody, any country, could get rich by ‘hard-work’ and following the rules. Yet, the world doesn’t run on the fancies of a market economy. If that were true, we wouldn’t have had the many wars in the first place.
The latest geopolitical ongoing; the assault on Venezuela, Trump’s threats of seizing Greenland, the controversial 'Board of Peace’ plan for Gaza, all show that it is time for another round of resource grab. In fact, resource grab is the central principle of capitalism. Its origin story is that of plunder, from colonialism, slave trade, looting of Africa, India and so on. It continues with the policies enacted via Bretton Woods institutions. And it is nourished with a resource-grab war now and then.
And this time the self-endorsed leader of the neoliberal paradise, Donald Trump, has made the ambitions of his empire as clear as possible. It’s astonishing how a person can go about inciting wars, giving threats to countries and asking for a Nobel Peace Prize all at the same time.
Every sane person knows the real motive behind the political turmoil in Venezuela was oil. Yet the American establishment kept shifting the narrative to drugs, and democracy. But as soon as President Nicolas Maduro was brought to the US, everybody from Trump to Marco Rubio reverted to their interest in Venezuelan oil.
Women walk past the urns of the remains of Cuban officers, who were killed during the U.S. operation in Venezuela that captured Venezuelan President Nicolas Maduro, at the Ministry of the Revolutionary Armed Forces in Havana, Cuba, Thursday, Jan. 15, 2026. Photo: AP/PTI.
With high national debt, rising consumer debt, inflation and inequality, the US economy is facing significant challenges at home. It needs more resources to stay afloat. It needs to maintain its petrodollar hegemony to stay on the top. For the unaware, the US dollar is deeply linked with oil money. In the early 1970s, the US signed a contract with Saudi Arabia that all oil trade payments must be done in dollars. That forces countries to maintain a balance of dollars in their forex accounts. But today, the world has shifted. BRICS countries hold over 40% of the world GDP. An estimate says about 20% of global oil trade is already happening in other currencies, Euros, Chinese yuan, rubles and even digital payment systems. And this was exactly the crime of Venezuela. It had started to accept payments for its crude oil in yuan and other currencies. Trump’s outbursts on Truth Social clearly show how much a talk of this de-linking of dollar from oil trade ruffles them. Even before he assumed the presidency, in December 2024, he wrote on Truth Social, “The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER.”
No wonder that they couldn’t stand that Venezuela, a country heavily sanctioned by the US, was still managing to keep itself afloat. When the US sanctions a country, usually the world follows. See the extent of sanctions on the people of Venezuela; its elected government officials can't travel to other countries, and their assets are frozen in the US. Of course there was a ban on oil imports from Venezuela, yet Chevron was granted an exception. Other countries importing Venezuelan oil also faced a 25% extra tariff from the US. Apart from that, efforts were made to sabotage the oil industry in Venezuela, with bans on imports of machinery, technology, even the crucial naphtha used in oil production. Tankers of oil moving in and out of Venezuela were targeted. In such a situation, how could Venezuela develop its oil industry? The country was never left in peace. Political coups destabilised it, while hybrid wars remained a constant feature in Venezuela. After all this, the IMF data says that Venezuela's GDP is going to be -3%. This is like tying someone's hands and then blaming them for not working.
A study published in Lancet looked at the impact of US sanctions on 152 countries between 1971 and 2021. It estimated that about 600,000 deaths occurred each year in these 50 years in these countries as a direct and indirect result of US sanctions. The scale of this data is horrifying. Between 1971 and 2021, US sanctions have caused about 3 crore deaths in 152 countries.
Unfazed by sanctions, China found a way to trade with Venezuela, and also other Latin American countries. Out of 33 Latin American countries, 24 are part of China’s Belt and Road Initiative. China is building critical infrastructure and renewable energy projects in many of these countries. Between 2000 and 2023, China invested $100 billion in Venezuela. This investment went into crucial infrastructure like railways and power plants. In return, Venezuela supplies oil to China. Last year, 80% of Venezuela’s oil exports went to China.
Experts say the US attack on Venezuela isn’t just about Venezuela – it's also an attack on China's growing influence. Trump is simply not able to digest China’s growing influence in Latin America. A few weeks ago, he pressured a Hong Kong-based company to sell two major ports on the Panama Canal. They were sold to the US company BlackRock.
President Donald Trump points after arriving at Palm Beach International Airport on Air Force One, Friday, Jan. 16, 2026, in West Palm Beach, Fla. (AP Photo/Julia Demaree Nikhinson)
And now the unprovoked threat to Greenland, a sovereign nation, is only a testament to the new imperial vision of America. In this new vision, the US refuses to acknowledge the sovereignty of other nations. Either they work as extended colonies of the US, or they face its ire. From tariffs to sanctions or outright military action, this is the new US foreign policy. Though Russia and China often become enemies in this game, they are a smokescreen behind which the US pursues its interest. What’s appalling is these are not even the legitimate interests of a nation, but of a few elite corporations. Perhaps that is why a real-estate man like Trump is their best bet to make the best deals. If you look closely, the US military is carrying out the job of boosting profits and expanding markets for American private companies. From oil companies to Big tech giants, the promoters of the US economy want to reap maximum profits.
The controversial ‘Board of Peace’ initiative further consolidates the power of a few elites over democratic institutions built with decades of effort. Invitations have been sent to over 60 nations, including France, Germany, Italy, Hungary, Australia, Canada, India, Pakistan, and the Middle East countries. Countries can pay $1 billion for a permanent seat on the board or stay there for free for 3 years. Donald Trump is to remain its chair for life. His son-in-law Jared Kushner is directly involved in the workings of the board. Even Russia has been invited to be a member of the board. What is the message to the world? Is it that the UN and other independent institutions, formed after the second world war, now irrelevant? The world’s elites are directly going to thrust themselves in conflicts, and the resulting ‘deals?’ That the exploits of the genocide are up for grabs, come and take your pick? Morality and humanity are things of the past, forget progress and innovation, just grab natural and public resources, supplement them with cheap labour in slavery like conditions!
This year, the world is looking forward to getting its first ‘trillionaire.’ Millionaires and billionaires are gathering in Davos this week to further consolidate structures that have benefitted them all along. A timely report from Oxfam shows that in 2025, billionaire wealth grew at a rate three times faster than the past five-year average, reaching its highest level in history at $18.3 trillion. This comes as one in four people don't regularly have enough to eat, and nearly half the world's population lives in poverty. The report also shows how extreme economic inequality is deeply linked to political inequality. Today, billionaires are over 4,000 times more likely to hold political office than ordinary people. And they are using this political power to not just further their wealth but also impinge on the rights and freedoms of the very people who build their wealth.
Obviously, the rich gathered in Davos are not going to call out the systems that benefit them; instead we are going to see more false propaganda that educates us all that this is the best possible system in the history of humanity. And so, the principles of market economy - fair play, voluntary exchange and limited government interference lie squashed in the process. The inherent contradictions of capitalism are now glaringly exposed. Do we need more evidence of advancing neo-imperialism?
Kavita Kabeer is a writer and a satirist, currently helming the show ‘Cracknomics’ for The Wire.
This article went live on January twenty-first, two thousand twenty six, at thirty-five minutes past nine in the morning.The Wire is now on WhatsApp. Follow our channel for sharp analysis and opinions on the latest developments.
