Guyana ranks fifth fastest-growing economy without oil, says president Ali 

GEORGETOWN, Guyana, (DPI) – Guyana is still the fifth fastest growing economy in the world without taking the impact of the oil and gas economy into consideration, as the country’s non-oil sectors have seen robust growth over the past year, His Excellency Dr Mohamed Irfaan Ali disclosed.

“Without oil, our economic growth would still run fifth in the world as a fastest growing economy in the world in 2020,” president Ali said during a live update on his Facebook page.

With a projected growth of 58.7 percent by the International Monetary Fund (IMF), Guyana is ranked number one in the world and Fiji is second with a projected economic growth of 12.5 percent.

Moreover, Guyana’s non-oil economy is projected to grow by 9.5 percent this year, according to the Finance Ministry‘s half-year report.

“Guyana’s economic performance in 2022 was not only remarkable, but it is one that is worth a study,” president Ali noted.

The head of state said this is a direct result of the PPP/C government’s programmes and policies, and investments in the non-oil sectors over the past two years.

Agriculture and other crops are projected to grow at 17.9 percent, while quarrying and mining are projected to grow at 11 percent.

The construction sector is projected to see a 19 percent growth while wholesale and retail trade, a 12.5 percent growth rate. Similarly, transport and storage are projected to grow by 13 percent and accommodation and food services will grow by 18 percent.

These, he stated, are a direct result of the confidence in the economy where more medium and small-sized enterprises invest in a diversified portfolio.

“This is also important when you look at what people call Dutch disease…The diversification of our economic portfolio is holding strong,” president Ali continued. “While oil is bringing in the most needed revenue, the measures by the government targeted the expansion of other economic sectors.”Dr Ali pointed out that Guyana has also managed to keep its inflation in single digits.

Guyana’s inflation is projected to be around 7 percent, which is below the global inflation rate according to the IMF.

“So, from a macroeconomic perspective, looking at our macroeconomic fundamentals in 2022, notwithstanding the complex international environment, we’re operating in… we’ve seen the true result of the policies and measures adopted by the People’s Progressive Party Civic Government,” he noted.

The president said the past two years were spent rebuilding the framework that supports the upliftment and development of the non-oil sectors which suffered neglect under the previous administration.

“In the coming years you will see in a greater sense the impact of investment being made now,” he asserted.

As it relates to commodity prices, at the end of the first half of this year, consumer prices were 4.9 percent higher than the levels recorded at the end of 2021.

President Ali reminded of the host of measures implemented to ease the burden on the population.

Meanwhile, in the oil and gas sector, there are to be 13 lifts of profit oil this year with over US$1 billion in revenue and US$150 million in royalty.