THE Government of Guyana recently hosted a visit by the newly appointed President of the Caribbean Development Bank (CDB), Dr. Hyginus Leon. This is his first official visit to Guyana since he assumed the Presidency of the bank in May of this year.  During the visit, the CDB President met with a number of top government officials including President Dr. Mohamed Irfaan Ali; Vice-President, Dr. Bharrat Jagdeo; and Senior Minister in the Office of the President with responsibility for Finance, Dr. Ashni Singh.

The objective of the visit was to re-affirm the CDB’s commitment to Guyana and to offer assistance in support of the country’s national development goals.

The visit could not have come at a better time when the country is experiencing a wave of exciting economic developments, due in part to the new and still emerging oil and gas sector, but also to an outburst of investments, both local and foreign. It also took place against the backdrop of the recent floods experienced in several parts of the country and the continuing COVID-19 pandemic being experienced in the country and the Region at large,

The CDB has a long history of partnership in Guyana’s development by way of the disbursement of development financing and other forms of technical assistance, especially through the bank’s Basic Needs Trust Fund (BNTF). In fact, Guyana is one of the founding members of the bank, having joined the bank in 1970. Funding from the bank over the decades has contributed significantly to the country’s development. Last year, the CDB approved US$9.9 million for the construction of a modern Hospitality Training Institute and another US$190 million for the upgrading of 121 kilometres of roadways from Linden to Mabura Hill, one of the largest projects in the bank’s history. So far, the bank has disbursed over $350 million in several areas of national development such as agriculture and rural development, education, tourism, transportation, communication, power, infrastructure, environment and manufacturing.

As a developing country on the path of economic and social transformation, the need for development finance and investment capital cannot be overemphasised. This is especially true for the growth and development of trade and manufacturing, so critical for balanced and sustainable development and also for job creation. The private sector has a key role to play in this regard. In recognition of this fact, President Ali, during his meeting with the CDB officials, made a pitch for greater support for the private sector, which is now regarded as the ‘engine of growth.’

The President outlined in his discussions with officials of the bank, his vision for Guyana and the government’s macro-economic plans, as well as possible areas where the bank can contribute to meet the challenges that face not only Guyana, but the Region as a whole. That view was also shared by Dr. Ashni Singh, who noted that the private sector is earmarked to play key roles in Guyana’s future development. These discussions, as pointed out by the minister, has to be seen against the backdrop of Guyana’s role not only as a borrower and a beneficiary of the bank, but also as a shareholder.

From all indications, the meeting was very constructive and could pave the way for greater and more fruitful engagements between the Guyana Government and the Caribbean Development Bank.

The new development paradigm is one in which the private sector is the main driver of wealth creation and by extension national growth and development. Public-Private Partnerships (PPPs) are now the preferred models of wealth creation with the government playing the role of facilitator of the development process and creating the enabling environment for the private sector to grow and prosper. The overall objective is to create a diverse, balanced and resilient economy, which is not subjected to the vulnerabilities of any particular area of production and which is sustainable over time.