GUYANA and Kuwait yesterday sealed five bilateral agreements, setting the stage for firmer ties, during a short visit by Prime Minister, His Highness Sheikh Nasser Mohamed Al-Ahmed Al-Jaber Al-Sabah.
The Prime Minister and a delegation of 66 arrived here as part of a tour of Latin America and the Caribbean, that also took in Cuba, and were accorded an official red carpet welcome on the tarmac of the Cheddi Jagan International Airport.
The highpoint of the visit, which lasted some five hours, was the signing of the agreements at the Office of the President complex in Georgetown by ministers from the two sides with President Jagdeo and his guest looking on.
The agreement for economic and technical cooperation and another for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital were signed by Finance Minister, Dr. Ashni Singh and his Kuwaiti counterpart, Mr. Mustafa Jasem Al Shamali.
Foreign Affairs Minister, Ms. Carolyn Rodrigues-Birkett and Mr. Ahmad Al-Haroun, Kuwait’s Minister of Trade and Industry, signed a bilateral trade agreement.
An agreement on establishing a joint commission was signed by Ms. Rodrigues-Birkett and Mr. Khaled Al-Jarallah, Undersecretary of the Kuwaiti Foreign Affairs Ministry.
Transport and Hydraulics Minister, Mr. Robeson Benn, and Kuwait’s General Director of Civil Aviation, Mr. Bader Buotaiban, concluded the signing ceremony with the signing of the air services agreement.
Some members of the Kuwaiti delegation were resplendent in traditional Middle East official wear of flowing robes, called besht, and traditional headwear (kotra).
A delayed schedule saw them deplaning at Guyana’s primary airport at about 16:30 hrs to a 21-gun salute welcome, during which the flag of Kuwait was unfurled.
After President Jagdeo and His Highness took the salute to the strains of the national anthems of the two countries, and introductions between both sets of officials, the motorcade proceeded to Office of the President, where the two countries signed the bilateral agreements.
The delegation dined with President Jagdeo at his official State House residence before departing Guyana.
During the signing ceremony, a contingent of Kuwaiti businessmen met members of the Guyana private sector at the Princess Hotel, Providence, East Bank Demerara to explore joint venture trade and investment initiatives and opportunities.
After an official visit to Kuwait in January this year, President Jagdeo announced that Kuwait has agreed to provide up to US$10M for an infrastructure project here, and said this most likely will be used to develop 10,000 more house lots for low-income groups.
Kuwaiti assistance will come through the Kuwait Fund, after Guyana submits a proposal based on a feasibility study, Mr. Jagdeo told reporters here.
The President said then, that extensive discussions in Kuwait also covered strengthening relations between the private sectors of the two countries.
Mr. Jagdeo said that talks with the Emir of Kuwait and some of his officials in January were on a debt Guyana contracted with Kuwait since 1975, and which has grown to more than US$50M.
Based on Guyana’s commitments through Paris Club minutes, he said this country is required to seek comparable treatment from other non-Paris Club creditors, which means seeking, at a minimum, 85 per cent reduction on the net present value of the debt.
But Kuwait has argued that it has some complications with extending that treatment, and discussions over the years have been bogged down because of the differences in these positions, Mr. Jagdeo reported.
He said the two countries have agreed to continue these discussions later this year, possibly at the annual meeting of the International Monetary Fund and the World Bank in Washington in September.
“This is a major issue for Guyana as we move towards clearing up the debts of the past. Already, our debt profile is a very sustainable one, but we need to remove the last vestiges of the old debt so that we can continue to build a viable debt strategy in the future,” he said.
Yesterday’s visit by the high-level Kuwait team has resulted from Guyana’s move to explore investment and other opportunities in the Middle East.