The International Monetary Fund (IMF) has reported that Guyana remains in the lead for achieving the highest economic growth in the region this year. In its latest report, the financial institution said Guyana is projected to reach 37.2 percent in Gross Domestic Product (GDP).
The IMF also projected that the economy would see a growth rate 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 attributed to the booming oil industry as well as key government policies geared towards maximizing growth.
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.
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.
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.
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. (Modified from DPI)
