GUYANA’S manufacturing sector is expected to grow by some 7.5 per cent in 2022, according to the Ministry of Finance’s Mid-Year report for 2022.

The report anticipates a positive outlook after some contractions in the first half of the year.

The report notes that during the first half of this year, the manufacturing sector is estimated to have contracted by some 11.4 per cent, while other manufacturing declined by 4.5 per cent.

As it relates to the other manufacturing, it was noted that the performance for the first half of the year was largely as a result of the significant increase in prices of inputs, along with a decline in the production of pharmaceutical and chemical products which include the manufacturing of medical oxygen.

However, the sector is not anticipated to grow at 7.5 per cent.

Meanwhile, the report noted that the services and construction sector expanded by 7.6 per cent in the first half of the year. It was noted that the services industry started on the road to recovery last year, and continues to be supported by increased public and private sector activity in 2022.

The expansion in this sector was said to be driven by wholesale and retail trade, and the transport and storage industries which reportedly grew by 17.2 per cent and 13.6 per cent, respectively, during the first half of 2022.

As such, it was disclosed that the increase in wholesale and retail trade was driven by the expansion of the construction industry, and the demand for building materials.

Additionally, the report said that the growth in the transport and storage sector was due to the increased demand for haulage and warehousing for the oil and gas sector. These services are expected to grow by 6.3 per cent.

Further, the mid-year report said that escalated activity in the public and private sectors led to an estimated increase in the construction sector at about 20.4 per cent for the first half of 2022.

With the magnitude of activities, the construction sector it said is anticipated to grow by 19 per cent in 2022.