Bogus economics from Mohamed

Dear Editor,
IN a recent article published by Kaieteur News on July 13, 2025, Azruddin Mohamed claimed that 50% of Guyanese people are living in poverty. It is highly irresponsible for someone seeking the highest office to mislead the public with such statements.

Mohamed did not provide any sources for his claim, which suggests he is attempting to manipulate public perception to gain support, leveraging his inept understanding of economic realities.
Several writers, including myself, have recently discussed Guyana’s poverty rate, but we based our assertions on credible sources, including the International Monetary Fund (IMF), World Bank, and Guyana’s Central Bank.

These reports indicate that both inflation and poverty rates have declined, particularly in comparison to the last decade. Rather than focusing on facts, the article seems intent on criticising the government’s economic management. Guyanese voters will not be swayed by someone who has reportedly defrauded the population of millions.
Leadership requires winning the confidence and respect of the people by telling the truth. President Ali has embodied this for the past five years, speaking the truth, respecting national systems, and earning public trust.

In contrast, Mohamed has been charged by the US government with multiple counts of fraud. He expects the public to believe his false assertion that 50% of Guyanese live in poverty, while his credibility is under serious question.

Mohamed’s grasp of economics appears limited, poverty encompasses much more than mere income, it involves access to opportunities, dignity, and hope. For instance, the IMF and World Bank define poverty using various benchmarks, such as living on $5.50 per day (adjusted for purchasing power) (World Bank, 2020). In 2019, it was estimated that 48.4% of Guyanese were living in poverty (World Bank, 2021).
However, recent data indicates that poverty has been declining since 2020, thanks to targeted social transfers, increased public sector wages, free university scholarships through the GOAL programme, and investments in infrastructure, health, and agriculture (IMF, 2025a). These measures reflect effective governance rather than mere campaign promises.
Understanding our economic history is essential for anyone with aspirations for the highest office of the land. Under the PNC’s rule from 1966 to 1992, the economy collapsed, plunging nearly 90% of the population below the poverty line (Thomas, 1993).
When the PPP/C regained power in 1992, they led crucial economic recovery efforts, reducing poverty to 35% by the mid-2000s (IMF, 2006). However, after the APNU+AFC coalition took over in 2015, they reversed progress by increasing VAT on basic goods and leaving the treasury in deficit (Ministry of Finance, 2020).
When the PPP/C returned to power in 2020, they inherited a poorly managed economy. Despite challenges such as the pandemic and global inflation, the PPP/C achieved the fastest economic growth rate in the Western Hemisphere (IMF, 2025b) and used this growth to improve working people’s lives.
Much of Mohamed’s policies seem to mimic those of the PPP/C. Under President Ali’s administration, old-age pensions and public servant salaries have increased by over 30% since 2020, along with cash grants for over 200,000 children and subsidies for fuel and electricity (DPI, 2024).
These efforts are strategic measures aimed at reducing poverty and fostering long-term opportunities. The IMF confirms that these targeted transfers are increasing real incomes and alleviating hardship across the country (IMF, 2025a). Mohamed must present a credible economic plan before making unsupported assertions.
Mohamed relies more on spectacle than on policy. He fails to provide a credible economic platform, proven leadership, or a serious plan to address pressing issues like poverty, infrastructure, and education. Instead, he resorts to empty populism, offering superficial solutions without substance.
His qualifications stem from allegations of robbing the treasury of Guyana and its citizens. While he may promise cash or cars, he does not offer sustainable solutions. He has yet to present a credible framework for poverty reduction, economic diversification, or experience in managing national budgets or social welfare systems.
For Guyana to continue its progress in reducing poverty, expanding education, creating jobs, and protecting vulnerable citizens, continued governance under the PPP/C is vital. President Ali’s administration has demonstrated effective governance, wise spending, and the ability to convert GDP growth into tangible benefits for the people.
The choice before the Guyanese people is not just between political parties, it is a choice between sound policies and mere posturing.
More importantly, do we continue with tested leadership under President Ali or do we gamble with Mohamed, a sanctioned man. Reducing poverty is not straightforward, it requires sound fiscal management, social investment, and political courage with a thoughtful plan. In this regard, the PPP/C stands alone here!
Sincerely,
Dr. Tilokie Arnold Depoo
Economist

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