Venezuelan President Hugo Chavez threatened on Sunday to nationalize any private banks that refuse to finance the $9.31 billion in loans to small and medium-sized farmers engaged in government-promoted agricultural projects . . . Venezuelan law requires banks to provide at least 10 percent of their lending to government development projects . . . Chavez charged that major private banks of Venezuela, including Banesco, Banco Mercantil, and Banco Provincial, which are controlled by Spain’s Banco Bilbao Vizcaya Argentaria, were favoring loans to large landowners and businesses . . . the Chavez government controls about 28 percent of Venezuela’s banking sector after nationalizing around a dozen banks in recent years . . . the announcement comes as Venezuela’s multi-party opposition prepares for a primary election on February 12 that will determine the candidate to challenge Chavez in presidential elections scheduled for October . . . the opposition won about 52 percent of the popular vote in congressional elections last year . . . the latest threats by Chavez are a sign that his re-election campaign is already in full swing . . . Chavez is pandering to small farmers and the poor by expanding social programs using Venezuela’s oil wealth in anticipation of the elections . . . Chavez could follow through on his threats to nationalize the banks if his position appears threatened as the October elections draw closer.