GUYANA’S economy continues to experience unprecedented and robust growth, thanks to the burgeoning oil-and-gas industry. According to the Bank of Guyana’s Mid-Year report for 2023, the economy recorded exponential growth, with a real-oil Gross Domestic Product (GDP) growth of 59.5 per cent, and non-oil GDP growth of 12.3 per cent. The report also highlighted that real-oil growth benefitted from crude oil production of 68.7 million barrels.

The growing demands of the oil-and-gas industry have fostered economic growth and opportunities beyond the petroleum industry, with other sectors such as construction, agriculture, services, wholesale, retail trade and repairs, administrative and support services, accommodation and food services, and the transport and storage industry experiencing economic booms.
The establishment of the industry has created numerous benefits for Guyanese, creating a domino effect as the investment and employment opportunities across the various sectors continue to grow, creating avenues for entrepreneurship and business development to cater to the niche demands of the sector.

According to the Bank of Guyana report, “The construction sector experienced sustained and robust growth, increasing by 44.1 per cent at end-June 2023. This outturn reflects a continued increase in government infrastructure projects, along with rapid private sector development initiatives.” The construction sector has grown exponentially, utilising revenue from the oil sector to repair and construct roads, bridges, and other infrastructure countrywide. There have also been vast investments in the construction of ports, wharves and other offshore supporting infrastructure, all stemming from the needs of the oil-and-gas industry. The Vreed-en-Hoop Shorebase, and the expansion of Guyana Shore Base Incorporated’s facilities are just two examples of construction developments as a direct result of the oil-and-gas industry, since both projects will support offshore operations.

According to the report, “The wholesale, retail trade and repairs sector recorded growth of 14.2 per cent as infrastructural developments continue rapidly, and consumers continue to spend more, a sign of confidence in the economy.” Administrative and support services subsector expanded by 16.1 per cent, as the petroleum sector continues its expansive growth. In the information and communication subsector, 19.8 per cent growth was recorded. This expansion is the result of both public and private investments into infrastructure within the sector.
The accommodation and food services industry experienced an expansion of 10 per cent. The sector has been positively influenced by increased occupancy rates across hotels, and the opening of new hotels and dining establishments. Additionally, the transport and storage industry grew by 6.7 per cent. This outturn reflected the continued growth of the oil-and-gas sector, which demanded more of these services. Construction is underway on the US$32.2 million four-star Hyatt Place Hotel located at Providence on the East Bank of Demerara, which will have 125 rooms. The US$15 million Aiden Hotel at Oronoque and Robb Streets is also under construction, and is set to be completed by January 2024.
There have been calls by sections of the media and some individuals for the operations offshore to be halted, citing various reasons such as the need to renegotiate the Stabroek Petroleum Agreement, or ill-informed environmental concerns. Absence of the oil-and-gas industry means that all of the aforementioned progress would not have been possible at such a fast rate. The oil-and -gas industry continues to pave the way for investment and growth, taking the country to new levels of economic development, thereby benefitting thousands of Guyanese. As the industry continues to expand, Guyanese will enjoy an increase in economic opportunities in the various sectors comprising Guyana’s economic framework.