With elections coming and relaxed sanctions, Venezuela is set to raise social spending

FILE PHOTO: People extract water from an unknown source in the low-income neighborhood of Petare, in Caracas, Venezuela May 12, 2023. REUTERS/Gaby Oraa/File Photo

CARACAS (Reuters) - The Venezuelan government will be in a strong position to increase social spending to woo voters in 2024 as relief from some U.S. sanctions allows more oil income to flow into government coffers, analysts say.

The United States in October temporarily rolled back some oil industry sanctions and lifted a ban on bond trading sanctions in exchange for an electoral deal between the government of President Nicolas Maduro and Venezuela's opposition.