VENEZUELA 26 Sep 2010 Venezuela holds parliamentary election

Pro-government parties could face opposition in the 167-unicameral National Assembly election on Sep 26. Opposition parties boycotted the vote in 2005. This time they see votes in Venezuelans' discontent with the gloomy economy, electricity rationing and revelations of graft. Leftist President Hugo Chavez' control of the legislature isn't under threat, but significant gains for the opposition could see him having to work harder to have his way. Reuters sees the chance of instability ahead of the vote.

Government supporters and critics have taken to the streets in rival demonstrations that promise to continue up to and well past the election, regardless of the outcome.

Oposition parties have their own problems, and might not be able to translate the popular discontent into votes for their candidates. They are beset with divisions in their ranks and could have trouble fiinding candidates less tainted by corruption that the pro-government candidates. And the opposition accuses Chavez' National Electoral Council of gerrymandering seven of the country's 23 states, including the major cities of Caracas and Maracaibo, for the benefit of pro-government parties.

A recession combined with 25 per cent inflation, the highest in America, adds to the hardship for Venezuelans. The economy shrank 2.9 per cent in 2009 and is expected to continue to contract. Several banks have failed. Oil prices are volatile, a potential problem because Venezuelans are accustomed to cheap gas. The graft revelations are also undermining the popularity of the governing coalition.

Chavez, first elected in 1998, was re-elected in December 2006 with 61 percent of the vote. Since then, the president, who has a military background, has markedly intensified political reforms. On Feb. 15, 2009, Venezuelans voted in favour of a constitutional amendment to remove term limits on all elected offices.

RELATED READING:

Problems for Chavez in Venezuela election year (Reuters 25 Jan 2010)
http://www.reuters.com/article/idUSN1411768620100125

Factbox: key risks to watch in Venezuela (Reuters 5 Feb 2010)
http://www.reuters.com/article/idUSN0515736320100205

Venezuela's Hugo Chavez: This year's challenges and opportunities (VHeadline.com 20 Feb 2010)
http://www.vheadline.com/readnews.asp?id=88631