Revised IMF outlook on Guyana shows renewed optimism in economy – Finance Minister

It came as no surprise to the Finance Minister, Dr Ashni Singh, that Guyana’s economic outlook was revised by the International Monetary Fund (IMF), double what it was in 2020.

That upward revision, from 8.1 per cent to 16.4 per cent, Dr Singh outlined, represents renewed optimism in Guyana’s economy.

On the sidelines of an event Wednesday, Dr Singh detailed that 2020 proved to be a very challenging year for Guyana considering the general elections debacle and the COVID-19 pandemic.

While there was much uncertainty, Dr Singh said the country persevered and returned to some form of normalcy with a new government installed bringing with it “economic and fiscal plans” that helped resolve any policy uncertainty that might have existed.

“The 2020 and 2021 budgets have sent a very clear signal of where our government is taking economic policy and what our intentions are with respect to this.

“And with the benefit of the clarity of the signal of what we would have done, I am not surprised by the upward revision of the economic outlook by the IMF.

“What this reflects is the remarkable optimism that has now returned to the Guyanese economy,” the Finance Minister informed.

Moreover, Dr. Singh added that the clarity of the policies enshrined in the two budgets sent a message to the rest of the world that Guyana’s economy is back on track and that we are “open for business.”

“That upward revision in Guyana’s growth outlook reflects the inevitable response of the IMF to the clear signal they would have gotten in relation to the government’s economic policy and the clear signal of renewed optimism as it relates to the economic prospect of Guyana,” he continued.

While the IMF’s 2021 projection is one percent lower than the government’s projected 17 per cent growth, Dr. Singh noted that both numbers point to “a very strong positive growth outlook for the economy for 2021.”

Guyana will continue to see an upward growth in the coming years according to the IMF’s projections. By 2022, Guyana’s economic growth is pegged at 46.5 percent.