Guyana’s economy is projected to grow by 10.6% in 2025, driven by continued diversification and expansion across multiple sectors, according to Finance Minister Dr. Ashni Singh who made his 2025 budget presentation on Friday.
While this marks a slight moderation from previous years, Guyana is still poised to be the third fastest-growing economy globally, with the non-oil sector expected to expand at an impressive rate of 13.8%.
The fiscal framework for 2025 is underpinned by a $1.382 trillion budget, the largest in the country’s history, marking an increase of 20.6% from the previous year.
Despite this significant expansion, there will be no new taxes, with funding sourced through revenue from taxes, the sale of carbon credits, and the National Resource Fund.
The government has set ambitious targets for several key industries. Agriculture, for example, is forecast to grow by 11.4%, driven by strong performances in sugar, rice, and livestock production.
The sugar subsector is set for a remarkable 115.4% increase, largely attributed to ongoing mechanisation and value-added production efforts. Rice production is expected to rise by 12.4%, while the livestock and fishing sectors are also poised for steady growth.
Mining, another cornerstone of Guyana’s economy, is expected to expand by 10%, buoyed by strong performances in gold and bauxite production.
Gold mining is anticipated to increase by 17.2%, while bauxite output could jump by over 70%. Manufacturing, construction, and services are also projected to continue their upward trajectories, with the construction sector alone expected to grow by 24.8%.
Despite the robust growth across various sectors, inflation remains a key concern. For 2025, the government has set an inflation target of 2.8%, which mirrors the inflation rate of 2024.
Dr. Singh noted that monetary policy will focus on containing inflationary pressures while ensuring exchange rate stability, supporting sustainable private sector credit growth, and fostering economic stability.
