The relaxed sanctions could lead to $1.4 billion in additional income for Venezuela over the next six months, analyst firm Sintesis Financiera said in a report. The additional oil income is expected to arrive gradually, partly though the redirection of exports. "The contribution will go to social spending and services." The government has traditionally increased social spending, public sector salaries, food distribution and housing construction projects ahead of elections, though national income has been limited over the last five years because of the sanctions and problems at PDVSA. Public spending has fallen to 15% of gross domestic product from 40% a decade ago, according to economic analysts.

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Persons: Gaby Oraa, Nicolas Maduro, Sintesis Financiera, PDVSA, Jose Vielma, PSUV, Ecoanalitica, Oswaldo Ramirez, Jose Guerra, Maduro, Mayela Armas, Deisy, Julia Symmes Cobb, Rosalba O'Brien Organizations: REUTERS, Rights, Venezuelan Finance Observatory, Thomson Locations: Petare, Caracas, Venezuela, Rights CARACAS, Venezuelan, United States, Washington