Law for Development Bank being finalized

The legislation to establish Guyana’s promised Development Bank is in its final stages and is expected to be presented to Parliament soon, Attorney General Anil Nandlall has confirmed.

Speaking Tuesday night on Issues in the News, Nandlall disclosed that the draft bill has already been completed and submitted to President Dr Irfaan Ali, who has since appointed a team of technical experts to review the document before it proceeds to the National Assembly.

“Once reviewed, it will swiftly go to Parliament, and it will be operationalised very shortly thereafter,” Nandlall said.

The Development Bank was first promised during the 2025 election campaign. It is intended to expand access to financing, particularly for small and medium-sized enterprises (SMEs) that often struggle to secure loans from traditional commercial banks.

According to Nandlall, the institution will be established through legislation that clearly defines its structure, governance, and operational framework, ensuring that it is not created “in an ad hoc way.”

The Attorney General explained that the model for the bank was developed after examining similar institutions in countries including Trinidad and Tobago, Jamaica, Botswana, Nigeria, Finland, and Singapore, with elements from those systems adapted to suit Guyana’s needs.

Once operational, the bank will offer loans of up to $3 million without interest and without requiring collateral, targeting sectors such as agro-processing, small-scale manufacturing, and other entrepreneurial ventures.

“There will be no interest… and no collateral required as security,” Nandlall said, noting that the initiative is aimed at segments of the population that are currently underserved by the financial system.

The bank is expected to begin with an initial capital base of approximately US$100 million, forming part of a broader US$200 million government commitment.

In addition to direct lending, the institution will also partner with commercial banks to co-finance larger projects, allowing small businesses to access financing of up to $10 million under more favourable conditions.

The initiative is designed to address longstanding barriers to credit access in Guyana, particularly for entrepreneurs lacking traditional forms of security such as land titles or substantial assets.

Nandlall urged citizens to begin preparing to take advantage of the facility by developing business ideas and proposals, noting that while requirements will not be overly rigid, applicants will still need to meet basic standards of transparency and accountability.

“This will create jobs… and cause an economic expansion at a particular level of our society,” he said.

The bank is also expected to provide technical support, including assistance with proposal writing and business development, helping to improve the sustainability of small enterprises.

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