CARACAS, Venezuela (AP) - Venezuela will tap oil revenue over the next five years to increase investment by US$100 billion on development projects not included in the national budget, said President Hugo Chavez.

Chavez, a self-proclaimed socialist who backs an expansive fiscal policy to encourage economic growth, said earlier this week that Venezuela will spend US$20 billion a year for the next five years under an "extraordinary investment plan".
Oil export revenue will be tapped for the spending plan, he said.

The state oil company Petroleos de Venezuela, or PDVSA, will contribute US$10 billion a year; the Pequiven state petrochemicals firm will contribute US$2 billion (euro1.7 billion); the Fonden development fund will contribute US$5 billion (euro4.2 billion) a year; and an additional US$3 billion (euro2.6 billion) will come from a state development fund, according to the plan.

Chavez said the funds will be used to build transportation infrastructure, including bridges across Lake Maracaibo and the Orinoco River.

Venezuela's national budget is roughly US$40 billion a year. PDVSA has spent around US$4.5 billion a year for the past two years on projects unrelated to the nation's all-important oil industry, such as education and highways.

Venezuela has US$8 billion deposited in two government accounts set up for off-budget spending. The Fonden account, which is financed with foreign reserves, currently holds US$6 billion. Fondespa, another development fund financed with oil revenue, holds an additional US$2 billion.

Analysts expect Chavez to start spend heavily in 2006 to maintain high popularity ahead of presidential elections in December of that year.

Jamaican Folk Singers concert season September 6-14

Adopt A Band

Summer ends with Summer's Cool this Saturday