Economist Steve Hanke drafts Venezuela dollarization bill
American economist Steve Hanke, together with Venezuelan lawmaker Antonio Ecarri, has drafted a bill to replace the Venezuelan bolívar with the US dollar. The document also provides for the termination of the monetary powers of the Central Bank of Venezuela.
As The Rio Times reports, Fortune and Guacamaya wrote about Hanke and Ecarri's work on the project on August 20, 2026. Ecarri is a lawmaker and former presidential candidate in Venezuela, while Hanke previously advised governments on currency reforms.
What the project provides for
If adopted, the law is intended to make the US dollar the country's official currency instead of the bolívar. The Central Bank of Venezuela would lose the ability to issue money and set interest rates. The initiative is intended to stabilize prices and restore confidence in the economy after a prolonged period of inflation.
More current news is available on the UA.News Telegram channel Telegram.
The project does not provide details on the transition period or the mechanism for handling bolívar-denominated assets. Formal dollarization would mean shifting payments, salaries, and savings into dollars, although the dollar is already used informally in Venezuela.
Status of the initiative
The Venezuelan government has not publicly supported the bill, and no timeframe for its consideration by the National Assembly has been announced. The document's formal addressee and the legislative schedule for its further advancement have also not been disclosed.
According to the publication, the Central Bank of Venezuela reported GDP growth of 7.14% in the second quarter of 2026 on August 18. If dollarization is introduced, the country will depend on US monetary policy and will not be able to independently control these instruments.
