Guyana Development Bank bill passed

…path now cleared for “unlocking a wave of entrepreneurial activity” – Ashni Singh

The establishment of Government’s promised zero interest bank for small entrepreneurs is closer as the National Assembly on Monday passed the Guyana Development Bank (GDB) Bill number 5 of 2026, paving way for the establishment of a new state-backed financial institution that the Government says will expand access to financing for small businesses, farmers, youth, women entrepreneurs and hinterland communities among others. Brought in the name of Minister within the Office of the President with Responsibility for Finance Dr Ashni Singh, the Bill was quickly approved as the opposition bypassed participating in the debate and instead protested while Government parliamentarian argued that the new institution would help bridge long-standing financing gaps that have prevented many Guyanese from fully participating in the country’s unprecedented economic expansion. The bill was later considered clause by clause in committee and passed without amendment, before receiving its third reading. Throughout the debate, Government Members described the proposed Development Bank as a key instrument for ensuring that Guyana’s economic growth translates into greater opportunities for ordinary citizens rather than remaining concentrated among larger businesses with easier access to commercial financing. Culture Youth and Sports Minister Charles Ramson said the legislation represented more than the creation of another financial institution. “What we are doing today is more than just a discussion about banking. It is a discussion about how we as a Government… ensure that the promise of economic growth reaches every Guyanese.”
He explained that the proposed bank was intended to support a wide cross-section of Guyanese, including entrepreneurs investing their savings in new ventures, single parents seeking to expand businesses, young innovators, farmers entering agro-processing, persons with disabilities and families seeking to establish enterprises of their own. According to Parliamentarian Alistair Charlie Guyana’s rapid economic transformation has created unprecedented opportunities but has also highlighted significant barriers to financing, particularly for smaller businesses that often struggle to satisfy the lending requirements of commercial banks.

No sign of slowing down
That Guyana continues to attract major investments, undertake large-scale infrastructure projects and witness the emergence of new industries was highlighted by Minister of Public Service and Efficiency Zulfikar Ally who lamented that, however, access to affordable financing remains uneven. “The fact is our economy shows no sign of slowing down under a PPP/C (People’s Progressive Party/Civic) Government and as we continue to grow and expand, it is our duty as a Government to be intentional about making sure that this growth is inclusive, productive and broad-based,” he said. He also underscored that the effectiveness of the Development Bank should not be measured simply by the value of loans approved, but by the broader economic impact generated through increased entrepreneurship, job creation and regional development.
“The Guyana Development Bank should not be judged only by how much money it disburses, but rather… how many jobs are created, how much lending has reached businesses operating outside of the traditional coastal communities [and] how many businesses are still thriving after receiving support.” Ally maintained that the legislation comes at a critical stage in Guyana’s development. “Guyana has the physical space, it has the infrastructure agenda, it has rising household income, it has tens of thousands of newly registered businesses… but it also has a financing gap that, if left unresolved, will limit who participates in the country’s transformation.” Government also contends that the proposed institution will specifically target underserved borrowers, including women, young entrepreneurs, rural producers and hinterland communities. “The purpose of this bill is not simply to create a bank. It is to create a disciplined, accountable development finance platform that allows Guyana’s enterprises to participate in the next stage of national growth,” Ally said.

Game-changer
Agriculture Miniter, Zulfikar Mustapha also threw his support behind the legislation, arguing that access to financing has remained one of the greatest obstacles facing small farmers despite their willingness to expand production. “Over the years we have seen farmers have ideas, they have land, but more importantly, they are short of finance. Many times when they go to commercial banks, they hardly can get collateral as securities,” Mustapha said.
He noted that the Development Bank would provide farmers with opportunities to increase production and contribute to Guyana’s food security ambitions.

“This will be a game-changer for the small farmers, it will be a game-changer for the farmers in the hinterland, it will be a game-changer for the fisher-folks, and it will be a game-changer for the agro-processors.” He further argued that easier access to financing would strengthen Guyana’s efforts to become a leading food producer within the Caribbean while helping small manufacturers and agro-processors expand their operations.

Remove barriers
Tourism, Industry and Commerce Miniter, Susan Rodrigues also endorsed the legislation, describing it as a measure that would remove barriers preventing ordinary Guyanese from accessing capital. “Today we are not merely debating the creation of another financial institution. We are debating the creation of opportunity. We are debating the empowerment of ordinary Guyanese,” she said.
Rodrigues posited that affordable financing has remained one of the greatest obstacles confronting small and medium-sized enterprises (SMEs), despite previous Government initiatives to improve access to credit. “We have listened to the young entrepreneur with a promising business idea but no collateral. We’ve listened to the woman seeking to expand her small business and the farmer seeking to increase production. This bill is our response,” she said. She added that the legislation was designed to unlock productive potential in communities across Guyana by enabling more citizens to become business owners, employers and innovators. At the end of the contributions, the Senior Minister in the Office of the President with responsibility for Finance, thanked Government members for what he described as their passionate defence of the legislation. He said the Development Bank would primarily serve entrepreneurs who have traditionally experienced difficulty obtaining financing through commercial institutions.
“What this bill seeks to do… is to facilitate our smallest and most vulnerable businesses being able to access financing for good business opportunities, unlocking therefore a wave of entrepreneurial activities.” The Guyana Development Bill caters for the establishment of the GDB, which will promote the development and expansion of Small and Medium Enterprises and entrepreneurs countrywide. The Development Bank will provide SMEs with access to up to $3 million in collateral-free micro-credit loans to persons and enterprises at zero-interest rate. The Guyana Government has pledged some $40 billion (US$200 million) for this financial institution with provisions for more capital to be injected in the future. Already, approximately $20 billion (US$100 million) was set aside in Budget 2026 for the bank for when it comes into operation.

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