This report provides an in depth look at political and economic conditions in Venezuela and examines their impact on U.S. policy.

Since the September 2001 terrorist attacks on New York and Washington, U.S. attention to terrorism in Latin America has intensified, with an increase in bilateral and regional cooperation. This report discusses the issue in relation to the U.S. State Department's April 2009 Country Report on Terrorism; Venezuelan President Hugo Chávez's sympathies with terrorist groups and lack of cooperation on antiterrorism efforts; growing U.S. concern over activities of terrorist groups Hezbollah and Hamas in the tri-border area of Argentina, Brazil, and Paraguay; and various legislative initiatives related to Latin American terrorism issues being considered by the 111th Congress.

This report discusses President Bush's 2002 requests for new funding and additional authority to provide assistance to Colombia and six regional neighbors in a continuation of the Andean Regional Initiative (ARI) launched in 2001.