IMF projects ‘extremely fast’ expansion in Guyana this year

59.5 per cent in the first half of the year, with the non-oil economy growing by 12.3 per cent.

It added that the revised full year real GDP growth in 2023 is now projected at 28.2 per cent and 9.3 per cent for the non-oil GDP.

The report also detailed varying expansions in most sectors. There was nearly a 100 per cent increase in economic activity in the oil and sector; the agriculture, fisheries and forestry sector expanded by 7.6 per cent.

Declines were, however, noted in the areas of gold and bauxite mining.

Despite the seemingly positive outlook for Guyana, the IMF staff recommend a continued focus on maintaining macroeconomic stability through an “appropriate policy mix.”

“Staff recommend continuing close monitoring of macroeconomic and financial indicators, tightening monetary policy stance and using macroprudential tools as needed (e.g. loan-to-value ratio or debt-to-income requirements). In the medium term, staff recommend a review of the exchange rate framework to ensure that it best serves the economy,” the statement noted.