The Government of Guyana expects to receive more than US$12 billion in oil revenues in the period 2025-2028, derived from the sale of crude oil and royalties. This substantial income, when combined with other sources of national revenue, forms the backbone of the government’s development plan. Over the past three years, oil money has been used strategically to fund initiatives aimed at improving the lives of all Guyanese through investments in energy, infrastructure, healthcare, education, and social programs.
More than US$3 billion has already been withdrawn so far, and the results of this spending are already being felt across the country.
A key focus of the government’s agenda is the expansion of Guyana’s energy generation capacity. One of the most transformative projects currently underway is the Gas-to-Energy project, being executed in partnership with ExxonMobil. This is projected to reduce the cost of power across the board by 50% while also cutting emissions from electricity generation. Such a reduction in energy costs can not only ease the financial burden on households but will also stimulate economic growth by fostering a more competitive business environment. Vice President Dr. Bharrat Jagdeo has said the cost of power will be reduced once the project starts up.
Infrastructure development is another cornerstone of the government’s use of oil revenue. Projects such as the replacement of the aging Demerara Harbour Bridge with the new Demerara River Crossing are massive undertakings. This modernized bridge will enhance the efficiency of land transportation and facilitate the movement of maritime vessels across the Demerara Channel. Additionally, substantial investments in roads and bridges, valued over $200 billion this year across the country, aim to improve traffic efficiency, reduce congestion, and open new areas for residential and commercial development. By expanding access to land and housing, the government expects to give more Guyanese families the opportunity to build homes and establish secure futures.
Education and healthcare are receiving heightened attention, with investments directed toward democratizing access to quality services in these critical areas. New schools and hospitals are being built and existing facilities are being upgraded to ensure that both urban and rural populations benefit from improved resources. In education, these projects aim to level the playing field for students, providing equitable access to opportunities regardless of geographic location. Similarly, the development of healthcare infrastructure is intended to ensure that all citizens, including those in remote hinterland areas, can access high-quality medical care. While education at the University of Guyana is free in 2025, learners who are not able to physically travel to the campuses can benefit from digital scholarships through the Guyana Online Academy of Learning (GOAL).
The government’s infrastructure vision extends beyond Guyana’s borders, emphasizing regional connectivity to boost economic growth. For instance, the planned bridge linking Guyana and Suriname, to be undertaken in partnership with the Surinamese government, is expected to enhance trade between the two nations. Likewise, the proposed road to Brazil will improve export potential and facilitate stronger economic ties with northern Brazil.
While pursuing these projects, the government is keen on its commitment to responsible fiscal management. Unlike the previous administration, the PPP government prioritizes capital investments over unsustainable steep increases in salaries and cash grants. By focusing on projects that will have long-term economic impacts, the administration aims to ensure that the benefits of oil revenue are felt for generations to come.
Central to this philosophy is the recognition that the true value of oil wealth lies in how it is utilized. Vice President Jagdeo has said that Guyana must not be like Venezuela which, after decades of spending, has nothing to show for it. By directing oil revenues toward initiatives that improve infrastructure, reduce costs of living, and enhance access to education and healthcare, the government is working to ensure that the prosperity of the oil and gas sector is shared equitably with the people of Guyana.
