-Ambassador Theriot asserts, says country well positioned as an attractive destination for energy investment

THE United States Ambassador to Guyana, Nicole Theriot, has disclosed that a growing number of major American companies are turning their attention to Guyana, deepening economic ties that will stretch well beyond the oil and gas sector.

Speaking in a recent interview on the ‘Sources’ programme about US–Guyana trade relations, Ambassador Theriot said more and more US firms are ‘waking up to the opportunities’ in Guyana and are actively seeking Guyanese partners.

She stressed that Washington’s focus is on partnership, with the United States Department of Commerce office opened inside the US Embassy, Guyana, in September 2023, acting as a “matchmaker” between American investors and local businesses here.

While she did not have an exact figure at hand, Theriot said the number of partnerships has grown exponentially since the office was established.

“One of the things that I think is very important to mention is that it’s not just happening in the oil and gas sector, it’s happening in agriculture, it’s happening in security, it’s happening in IT. US companies have really woken up to Guyana,” she said.

According to Theriot, this diversification aligns with the Guyana Government’s own priority of broadening the economy to secure long-term, sustainable growth.

IMPACT OF GLOBAL TENSIONS AND OIL PRICES

Pressed on whether rising prices triggered by conflict in the Middle East, specifically the US-Israeli war in Iran, could disrupt US–Guyana trade, Ambassador Theriot said she did not expect the current relationship to be significantly affected.

She noted that each country would feel shocks differently and argued that higher oil prices could actually place Guyana in a relatively strong position, given that it now exports around 1.3 million barrels of oil per day.

TRANSPARENCY AND REGULATION

Ambassador Theriot acknowledged that US investors have expressed concerns about transparency, regulatory certainty and the overall business environment in Guyana.

She noted that every country faces similar issues, but said Guyana’s rapid transformation over the past five years has exposed the need to revisit and modernise laws and regulations, many of which are considered outdated, but are also actively being addressed.

“There is concern there, but I think it’s being addressed, and it’s making US companies much more comfortable as they see the attention being paid to those issues.”

She suggested that the presence of US and other international companies is in fact, pushing Guyana to move forward with reforms, making foreign investors more comfortable.

One of the most pressing issues raised by US companies, the ambassador said, is double taxation, given that the United States and Guyana do not yet have a bilateral tax treaty.

However, she noted that Guyana has maintained a competitive edge, especially as an emerging oil producer.

Theriot added that Guyana is in a “beautiful situation” and well placed to maintain its momentum as an attractive destination for energy investment.

“You have some advantages that other countries just simply don’t have, including emerging oil and gas countries. One is the quality of your oil. It is extremely high, sweet crude is [sic] it’s incredible,” she said.

TARIFFS

The Ambassador was also questioned about the 38 per cent reciprocal tariff initially imposed by the United States on Guyana’s exports, which was later reduced to 15 per cent.

Theriot explained that the original rate was determined by the US Trade Representative and the Department of Commerce and was largely driven by the scale of oil and gas exports from Guyana to the US. Outside of the petroleum sector, however, the trade balance runs in the opposite direction, prompting a rethink in Washington.

Following “careful and very thoughtful discussions” with the Guyana Government, the tariff was cut to 15 per cent, and she confirmed that further reductions are under active consideration.

The US Trade Representative is expected to visit Guyana as part of those ongoing talks.

“So, they realised that, and through careful and very thoughtful discussions with your government, they decided to reduce it to 15 per cent and there are, absolutely, discussions ongoing to reduce it further,” she disclosed.

It is anticipated that there could be a further reduction to 10 per cent.

Bilateral trade between Guyana and the United States of America (USA)  surpassed S$4.7 billion in 2024.