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Guyana records significant economic growth during first six months of 2021


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Guyana records significant economic growth during first six months of 2021
Senior Minister for Finance in Guyana, Dr Ashni Singh - FP

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Georgetown – The Guyana economy grew by 14.5 per cent during the first six months of this year, according to the mid-year report released by the Ministry of Finance.

Senior Minister of Finance Dr Ashni Singh will table the report at the first sitting of the National Assembly when legislators return from their annual recess.

Earlier this year, Singh indicated Guyana would be one of the fastest growing economies in terms of real gross domestic product (GDP), predicting a rapid transformation in several sectors given that the government was making efforts to boost the non-oil sector.

The Ministry of Finance said the favourable economic performance at the end of the first half of 2021 in the non-oil economy bodes well for the upcoming second half of 2021 and into the future.

According to the report, the agriculture, forestry, and fishing industries sectors contracted by 2.4 per cent compared with a decline of 4.1 per cent for the same period last year because of lower output from the other crops, sugar growing, forestry and fishing industries.

“At the end of the first half of the year, the Guyana Sugar Corporation (GUYSUCO) produced 29 650 tonnes of sugar,” according to the report.

“This performance reflects the record high levels of rainfall, which resulted in waterlogged soils, particularly at the Albion Estate, and strike action that resulted in over 5 600 man-days being lost.”

The report noted the sugar industry declined by 22.4 per cent when compared to the same period last year, blaming a 30 per cent mortality of mature cane at Albion, 10 per cent at Uitvlugt and five per cent at Blairmont due to flooding.

Another 15 000 tonnes of sugar in the second crop were also expected to be lost, based on the report.

The ministry stated the rice industry grew by an estimated 7.8 per cent in the first half of the year, marginally lower than the target set for the period, “other crops” declined by 7.3 per cent due to flooding, and the livestock industry was estimated to have grown by 10.6 per cent when compared to the same period last year.

For the same period, however, the fishing industry contracted by an estimated 6.6 per cent and the forestry industry by 7.1 per cent.

Regarding the extractive industries, the report indicated the mining and quarrying industries grew by an estimated 23.1 per cent in the first half of this year, with higher output from the petroleum and other mining industries despite contractions in gold and bauxite.

The total output from the petroleum sector increased by 65.4 per cent when compared to the same period last year.

(CMC)