DESPITE the challenges facing global and regional economies, as well as the new political situation locally, Guyana has been able to record a 3.2 percent growth in the economy. 

During a media briefing yesterday, at the National Communications Network studios, Minister of Finance, Dr. Ashni Singh highlighted sectoral growth, all of which have contributed to the overall growth of the economy, keeping Guyana along the path of eight years of consecutive, positive growth.
Of the 3.2 percent growth, non-sugar Gross Domestic Product grew by 2 percent, while the local economy is now projected to grow by 4.5 percent in the full year 2014, with non-sugar growth now projected at 3.6 percent.
According to the midyear economic report, the rice industry continues to achieve an unprecedented production boom, with production in the first crop of 312,283 tonnes, 18.3 percent over last year’s record high first crop production of 263,868 tonnes.
Sugar production in the first crop of 79,995 tonnes was 66.5 percent above the 2013 level, while the forestry sector recorded robust growth of 38.1 percent, supported by the introduction of new incentives to harvesters.

“Whilst we in Government are under no illusions about the importance about the work that we do and have to do to preserve the environment, the achievements of this level of growth and the sustaining of this growth over the protracted period of eight and half points clearly to investors’ confidence and optimism and indeed point to growing competitiveness and resilience.”- Finance Minister

However gold declaration contracted by 17.2 percent at the half year.
The manufacturing output grew by 11.2 percent driven by increased levels of production for sugar and rice, with the construction sector recording an extremely strong 16.8 percent growth reflecting both public and private sector activity.
The wholesale and retail, information and communication, and financial and insurance activities recorded growth of 6 percent, 3.5 percent and 2 percent respectively.
Guyana’s overall balance of payments deficit improved to US$93 million, compared to US$145.6 million at half year 2013, excluding gold, while total exports grew by 4.3 percent to US$307.5 million in the first half of 2014.
Despite the many challenges, sugar exports returned US$34.4 million in earnings, a 26.4 percent increase, while rice export earnings increased to US$95.6 million, 14.9 percent higher than at June 2013. Timber export earnings rose to US$21.3 million, a 31.3 percent increase, as gold exports earnings contracted by 24.6 percent to US$226.7 million.
Further net domestic credit by the banking system to the private sector grew by 2.9 percent.
Credit growth was driven by the mining, construction & engineering and real estate sector, which expanded by 10.3 percent, 7.6 percent, and 7.5 percent, respectively.
According to the minister given an external environment as well as the domestic political situation, which continues to be challenging, the achievement of growth is a most commendable achievement.
“Whilst we in Government are under no illusions about the importance about the work that we do and have to do to preserve the environment, the achievements of this level of growth and the sustaining of this growth over the protracted period of eight and a half months point clearly to investors’ confidence and optimism and indeed point to growing competitiveness and resilience,” the Finance Minister stated.
This, he pointed out, could have only been accomplished by both entrepreneurial and workers’ efforts, as well as with the significant contribution of the private sector, notwithstanding the many challenges.

Some of the Key Sector highlights are:
Education
*         A total of $12.1 billion was expended in the first half of the year.
*         Over $554 million has been expended on the construction, expansion, rehabilitation and maintenance of education facilities countrywide.
*         In the area of information and communications technology (ICT), works are on schedule to complete the equipping of the three remaining secondary schools with computer laboratories before the end of 2014.
*         Efforts to increase the proportion of trained teachers in the system have resulted in:
*   749 students currently enrolled in the Associate Degree Programme
*   69 students enrolled in the Trained Teachers Certificate Programme
*   102 students enrolled in the Teacher Upgrading Programme
*   17 staff members are currently accessing second and third degrees

Health
*         $21.5 billion was allocated for the continued implementation of the National Health Strategy Health Vision 2020, of which $9.2 billion was expended as at the end of June.
*         18 additional doctors were enrolled into postgraduate resident programmes
*         7 postgraduate residents in the areas of orthopedics, surgery and emergency medicine will graduate in the final quarter of 2014.

Housing
* $2.5 billion was expended in the housing sector towards ensuring access to adequate and affordable shelter.
* 1,300 house lots distributed.
* Processed 2,196 land titles.
* Of the 100 houses promised through the public-private turnkey partnership, 42 have been completed.
* 116 core houses were completed out of the 176 targeted

Water
*         Over $2.5 billion has been allocated to the water sector, towards increasing access to safe water and of this amount $661 million was expended at the end of June.

Sanitation
*         Government allocated $544.6 million for the completion of the sewer system in Central Georgetown of which $292.5 million has been expended as at the end of June.
*         Works on the sewer system in Central Georgetown have resulted in the operationalisation of 24 sewer pumping stations and installation of 11.6 kilometres of delivery and force mains.

Agriculture
*         $829.4 million was expended in the agriculture sector.
*         Efforts were taken to enhance Early Warning Systems by installing an agrometeorological automatic weather station at La Bonne Intention.
*         Importation of 18 A-Nucleus breed of dairy cows
*         The appointment of the Veterinary Board
*         Government has established a research oversight committee which has developed a national agriculture research agenda and plans to hold a national research conference in October 2014.

Drainage and Irrigation
*         $2.2 billion has been expended in the first half of 2014.
*         The Hope/Dochfour Public Road high bridge is completed.
*         Drainage pump stations at No. 66 Village and Paradise have been completed

Infrastructure
*         $2.4 billion was expended during the first half of the year with $2.3 billion being spent on roads and $21.8 million on bridges.
*         $551 million was expended towards the completion of the four lane access road to the Cheddi Jagan International Airport (CJIA) and the East Bank Demerara four lane highway.
*         $788.4 million has been expended on the improvement on rural and community roads.
*         $1.2 billion was expended on CJIA from a budget of $6.6 billion to continue extension works on the CJIA runway.
*         $527 million has been expended towards the further strengthening of our sea and river defence infrastructure.

Electricity
*         $1.8 billion has been expended.
*         Works have advanced on four substations and the upgrading of substation at Onverwagt has progressed.
*         The installation of transmission lines from Columbia to Onverwagt has been completed

Information and Communication Technology
*         $450.6 million has been expended for the completion of works under the E-Government project with civil works completed at all of the 54 LTE-A sites
*         4,254 laptops have been distributed in the first half of 2014. (GINA)