–unemployment falls from 14.5 per cent to 6.8 per cent as economy strengthens
GUYANA’S continued economic expansion is being reflected in significant improvements in its labour market, with the country’s unemployment rate falling by more than half over a three-year period, according to the Inter-American Development Bank (IDB).
This was highlighted by the IDB in its latest Caribbean Economics Quarterly, which indicated that Guyana’s improved labour and population dynamics were part of the country’s strengthened output performance.
The report noted that Guyana’s unemployment rate declined from 14.5 per cent in the third quarter of 2021 to 6.8 per cent during the same period in 2024.
The sharp decline represents a reduction of 7.7 percentage points over the period and comes against the backdrop of Guyana’s rapid economic expansion, particularly following the acceleration of oil production.
The IDB said Guyana’s output performance strengthened further in 2025, helping to promote socioeconomic development, while also providing a degree of insulation against increased global uncertainty and associated risks.
Guyana’s gross domestic product grew by 19.3 per cent in 2025, following an exceptional 43.8 per cent expansion in 2024.
The report also highlighted significant demographic changes taking place alongside the country’s economic transformation.
Guyana’s population increased to approximately 900,000, up from around 700,000 a decade earlier, according to data from the Guyana Bureau of Statistics cited by the IDB.
The population increase, coupled with the marked decline in unemployment, points to significant changes in the country’s economic and social landscape as Guyana continues to experience rapid growth.
The IDB’s assessment comes as the country continues to transition into a major oil-producing economy, with economic activity expanding both within and beyond the petroleum sector.
The report noted that non-oil GDP growth increased from 13 per cent in 2024 to 15 per cent in 2025, indicating that the wider economy has continued to expand alongside the petroleum sector.
While the IDB cautioned that Guyana’s economic outlook remains subject to global uncertainties, including geopolitical tensions and fluctuations in international oil prices, it said macro-fiscal risks are expected to remain largely contained.
