The Essequibo Dispute: A Test of Latin America’s Commitment to International Law

Federico Canas Velasco | Latin America Fellow

Image sourced from Guaiqueri via Wikimedia Commons.

The long-standing border dispute between Venezuela and Guyana over the resource-rich Essequibo region has erupted into one of Latin America’s most pressing diplomatic challenges. What was once a bilateral issue is now threatening the greater stability of the region. This crisis tests the ability of influential state actors and the region’s multilateral institutions to protect the sovereignty of smaller states like Guyana in the face of expansionist claims made by their more powerful neighbours. As Venezuela aggressively pursues its historic claim, the outcome of this tension will shape not only the fate of Guyana but also the credibility of international law and collective security agreements across Latin America.

An Historic Claim

Venezuela’s claim to the Essequibo, a region comprising about two-thirds of Guyana’s territory, stems from the 1899 Paris Arbitral Award, which granted the territory to British Guiana (now Guyana). This agreement remained unchallenged between the two nations for six decades; however, in 1944, Severo Mallet-Prevost, official secretary for Venezuela during the arbitration, posthumously alleged that the award was the result of a political deal. This alleged corruption reignited Venezuelan claims to the region, culminating in the 1966 Geneva agreement, which sought to facilitate dialogue but produced few meaningful outcomes. The issue’s salience has since fluctuated in Venezuelan politics, but embedded itself in the national psyche through maps marking the territory as a “zone in reclamation,” and in popular songs like “El Esequibo” by Tempano. 

Following the discovery of major offshore oil reserves in 2015, President Nicolás Maduro revived Venezuela’s claim, leveraging it as a nationalist rallying cry amid growing domestic unrest and economic turmoil. Maduro’s actions – conducting referendums granting Venezuelan citizenship to Essequibo residents, and most recently, holding state elections to appoint governors for the territory –deliberately harness nationalism to distract from domestic crises.

The use of foreign policy crises for domestic gain has precedent in Latin America. Just last year, Dr. Rebecca B. Chavez of the Inter-American Dialogue, an international organisation in support of democratic resilience in the region, likened Maduro’s actions to “the 1982 Argentine military junta’s ill-fated decision to try to take control of the Malvinas/Falkland Islands.” Like Venezuela’s claim to the Essequibo, Argentina’s move to seize the Malvinas drew on long-standing historical grievances, aiming to divert public attention from domestic crises and mobilise national sentiment. As illustrated by the bloody war that followed Argentina’s claim, leveraging the political capital of land disputes increases the risk of escalation and complicates diplomatic efforts across the region.

Regional Instability and Responses

Venezuela’s rejection of the International Court of Justice’s (ICJ) authority is central to the crisis’ latest phase. Despite the ICJ’s orders for both parties to “refrain from unilateral actions to change the status quo,” Venezuela continues pursuing provocative measures. Maduro’s recent actions demonstrate a disregard for international legal frameworks and highlight the vulnerability of smaller states like Guyana, which depend on the rule of law and multilateral support to safeguard their sovereignty. For example, on 1 March 2025, a Venezuelan naval vessel entered Guyana’s Exclusive Economic Zone, threatening its oil production vessels. Guyana’s rapidly expanding oil sector, a growing magnet for international investment, is now at risk as Venezuelan harassment threatens both economic growth and investor confidence. 

Multilateral regional organisations such as CARICOM, an important Caribbean political and economic union, have actively condemned Venezuela’s actions and advocated for peaceful dialogue. CARICOM has repeatedly called for adherence to the 2023 Argyle Declaration, which committed both sides to pursuing a lawful resolution to the conflict. Brazil, sharing borders with both countries, has also taken concrete steps to deter further escalation by stationing troops along the only road connecting Venezuela and Guyana.

Despite these coordinated diplomatic and security efforts, the capacity of regional actors to enforce compliance remains limited. Their influence hinges upon Venezuela’s willingness to respect international law and the ICJ’s rulings. Without Caracas’ cooperation, diplomatic pressure and regional solidarity may not be sufficient to prevent further escalation or conflict in the Essequibo region.

Future of the Dispute

Despite the limited ability of actors to enforce compliance from Venezuela, Guyana’s best path forward in the Essequibo dispute is to remain firmly committed to international law and multilateral institutions. This enables Guyana to garner global sympathy and support: the most pragmatic choice for a smaller nation when facing a larger adversary. Guyana’s reliance on the ICJ and close cooperation with CARICOM and international partners are its strongest assets.

While Venezuela has participated in peaceful negotiations before, its current rejection of international legal mechanisms is the chief obstacle to resolution. If Venezuela persists with military posturing and symbolic acts, the risk of conflict and instability will grow. Accordingly, the international community must escalate from mere warnings to Venezuela to adhere to the authority of the ICJ, to more decisive diplomatic or economic pressures. Ultimately, persuading Venezuela to respect international legal processes is crucial, not only to safeguard Guyana, but also to establishing a positive precedent for dispute resolution across Latin America. 

The Essequibo dispute now tests Latin America’s commitment to international law and regional order. With Venezuela’s actions threatening Guyana’s sovereignty and regional stability, upholding legal mechanisms and unity is crucial – not only for resolving the crisis but for safeguarding peace and protecting smaller states across the region.

Federico Canas Velasco is the Latin American Fellow for Young Australians in International Affairs. He is completing his final year of a Bachelor of Arts and Advanced Studies in International and Global Studies at the University of Sydney, majoring in Spanish and Latin American Studies.

Born in Australia to Venezuelan parents, Federico's interest in Latin America stems from his proud heritage as well as his academic exploration of the region's cultural, political, and historical complexities. This interest was further enriched when he studied abroad at la Universidad Carlos III de Madrid. Federico looks forward to this Fellowship as an opportunity to combine his research interests with his personal experience to contribute meaningful analysis on Latin America's future amid shifting global dynamics.