Bank of Guyana has reported that Guyana’s Natural Resource Fund (NRF) recorded a profit of G$266.04 million (US$1.28 million) during the second quarter compared with G$31.57 million (US$151,412.05) made in the previous reporting period.
The account manager said this was solely due to interest earned on deposits. Expounding further, the bank said the Federal Reserve Bank where the account is held, increased its target range for the federal funds rate twice moving it from 0.25% – 0.5% to 0.75% – 1% and then again to 1.5% – 1.75%. As a result of these increases which caused the interest rate on overnight deposits to rise significantly, and a higher account balance, the Fund was able to earn a higher level of interest income on its overnight deposits than previous quarters.
Bank of Guyana further noted that inflows to the Fund amounted to G$48,406.32 million (US$232.16 million) comprising of profit oil – G$44,015.41 million (US$211.11 million) and royalties – G$4,390.90 million (US$21.06 million).
As at June 30, 2022 Guyana received revenue for twelve lifts of 1-million-barrel (approximate) oil cargoes as its share of profit oil with two being received this quarter.
It is expected that revenue from an additional 10 oil cargoes will be received in 2022.
