–through wise investment of oil proceeds, says Attorney-General

By Richard Bhainie

Learning from the experiences of other countries, proceeds from the oil-and-gas industry will be injected into developing and transforming other sectors, so that Guyana’s economy can keep on an upward trajectory, long after the oil rigs cease.

Attorney-General and Minister of Legal Affairs Anil Nandlall, S.C., during an interview on Trinidad and Tobago WESN Content Capital, “Unwind”, with Siewdath Persaud, elaborated on the government’s plan to invest heavily in the diversification of the economy.

Nandlall explained that the new-found oil, a non-renewable natural resource, will inevitably be exhausted. However, the government is cognizant of the mistake made by other oil-producing nations, whereby they have depended on oil to sustain their economies, and failed to plan for life after wells go dry.

“We don’t want to end up like countries that invest exclusively in that sector, and when the oil is finished, you have serious economic problems,” Nandlall said.

In those regards, while reaping the benefits directly associated with the oil-and-gas industry, and those which would erupt indirectly, the government will channel proceeds from that sector to massively transform the traditional and other sectors of the country.

Nandlall explained that the magnitude of Guyana’s potential resides in the agricultural and manufacturing sectors, the capability of which, once properly developed, can radically transform the country into an economic giant in the world.

He explained that currently, Guyana’s agricultural sector operates at a cottage primary industry; however, Government intends to transform the agricultural sector into “a value-added and mega-production sector”.

Guyana possesses the factors necessary to facilitate the agricultural boom, especially the land. And with the proper resources available, Guyana can produce, at an enormous scale, a variety of crops, which will allow the country to once again boast the status of “Bread basket of the Caribbean”.

However, the intention of the government is not to only produce, but to convert the products into a variety of goods, through the manufacturing sector.

“We are blessed with hectares of arable agricultural land; we can produce the greatest volume of fresh food that we can tin; that we can bottle and supply this hemisphere like no other country,” Nandlall explained.

The Attorney-General acknowledged that the cost of fuel in Guyana, which has consequently affected the cost of electricity, has acted as a prohibitive measure in fostering the manufacturing sector, therefore restricting the country’s potential.

However, one of the most advantageous benefits known to be associated with the oil- and-gas industry is that of low-cost fuel, which will, in turn, allow for the unleashing of the country’s full potential.

“We envision that once we are able to reduce the cost of electricity, then that will be the greatest impetus that we can implement into our country, to get the other economic actors and other sectors of our economy fluid and operational, at the level that we would like it to be,” Nandlall said.

Present during the interview was international development consultant, and former Deputy Secretary-General of the Commonwealth and staff member of the United Nations, Deodat Maharaj, who lauded the initiative.

“Countries that gain mineral resources and natural resources, and they start tapping into it, specifically oil, there’s a sense of euphoria; a sense that the money will last forever. We have seen it in Nigeria, Venezuela, and we have seen it in Trinidad, in the glory days of oil money,” Maharaj said, adding:

“It’s good to hear the AG speak about diversification, because you have to think and invest in alternative and other sectors; not when the money is gone, but at the time when you are getting your financial resources.”

He explained that the plan to have an “effective diversification strategy” from the inception of the unearthing of the crude, and to invest heavily in the agricultural sector is the right plan for Guyana.