Guyana leads Caribbean in economic growth, GDP estimated at 37.2 per cent by year end – IMF

The International Monetary Fund (IMF) has reported Guyana as the leading Caribbean nation in economic growth, with a projected growth of 37.2 per cent in Gross Domestic Product (GDP) by year end.

With the leadership of President Dr Mohamed Irfaan Ali and the booming oil and gas industry, the IMF also projected that the economy would see growth of 45.3 per cent by the end of 2024.

The announcement comes a few days after the World Bank made a similar prediction.

These expected figures are due to the PPP/C Government’s policies which are focused on supporting growth in all sectors.

The booming oil and gas industry has been one of the main contributors to the advancement of the country with some 380,000 barrels of oil currently being produced daily.

One of the FPSOs

Further, the construction sector recorded intensified infrastructural activities in both the public and private sectors, including improved roads, bridges, housing projects, and educational and health facilities.

Part of government’s housing programme

As the global economy grappled with the pressures triggered by the COVID-19 pandemic, coupled with Russia’s invasion of Ukraine, the government implemented a suite of fiscal measures to cushion the impact of imported inflation.

The administration lowered the excise tax rate for petroleum imports and extended the application of the freight cost adjustment to pre-pandemic levels for the calculation of import taxes, among other measures.

Additionally, the country’s agriculture sector has historically been a major contributor to its economy and continues to play an important role in the nation’s GDP.

The government has also been working to promote agriculture and provide support to farmers, including funding for land preparation, drainage and irrigation, and other agricultural inputs.

Plants being cultivated and harvested locally

Meanwhile, in 2022, the IMF applauded the country’s transformative infrastructural projects and noted that those investments will support sustainable growth.

With careful planning and management, Guyana has the potential to become a model for economic development in the region and beyond.