Guyana’s economy continues to grow at an extremely fast rate, the International Monetary Fund (IMF) has said.
In its latest report, the IMF said the country’s economy has tripled in size since the start of oil extraction.
With oil production ramping up offshore, Guyana saw the highest real GDP growth in the world last year, recording a staggering 62.3% growth rate.
“Guyana’s oil reserves per capita are one of the highest in the world. Going forward, oil production will continue to expand rapidly as four new fields will come on stream by end-2028. Sustained real non-oil GDP growth is also expected, as the government continues to invest in human capital, lower energy costs, and build infrastructure, including for climate change adaptation,” the IMF said in its latest report on Guyana.
According to the international economic watchdog, the country’s real GDP is also expected to continue to grow by 38.4% at the end of this year and on average of 20% per year during 2024-2028.
“On the upside, further oil discoveries would continue to improve Guyana’s long-term economic prospects and a construction boom would support higher short-term growth than projected,” the IMF said.
The IMF also projected that substantial savings will accumulate in the Natural Resource Fund (NRF) in the medium-term and that the annual transfers from the NRF to the budget will finance most of the increase in public capital spending to meet developmental needs.
The very favorable prospects are accompanied by balanced risks, the report noted.
Some downside risks, according to the IMF, include highly volatile commodity prices and adverse climate shocks as well as governance concerns, which could negatively impact the economy.
You must be logged in to post a comment Login