WASHINGTON, D.C. — The International Monetary Fund has resumed dealings with Venezuela under the administration of acting President Delcy Rodriguez. The World Bank announced it would follow the IMF's lead, clearing the way for Venezuela to request financial assistance from the international lenders if Caracas deems it necessary to shore up its finances.

"This important step, guided by the views of our members, allows the Fund to re-engage in a way that can ultimately benefit the Venezuelan people," said Kristalina Georgieva, IMF Managing Director.

The World Bank said it had been guided by the outcome of the IMF's decision-making process.

Both Washington, D.C.-based institutions severed ties with Venezuela in 2019, during a split in the international community over support for Nicolas Maduro or Juan Guaido as the country's rightful leader following disputed presidential elections. In 2020, the IMF rejected Venezuela's request for an emergency loan of $5 billion to help fund its response to the COVID-19 pandemic, citing a lack of international consensus on the legitimacy of Maduro's leadership.

Rodriguez assumed power as Venezuela's interim leader in January and welcomed the announcements from the two lenders. The administration of President Donald Trump lifted sanctions on Rodriguez in the weeks before the IMF and World Bank announced the resumption of ties.

Venezuela has been a member of the IMF and the World Bank since 1946. The World Bank last made a loan to Caracas in 2005. The country's total external liabilities are estimated at more than $150 billion.