The cash flows in the PSA2016 could be rearranged so as to not cause Guyana to spend out its savings in its National Resource Fund

I wish to respond to the idea that the oil companies are granting Guyana a fair deal with their 50/50 billboard in which Guyana is getting one-half of the profits from sale of crude oil. Further, the ideas thrown about is half a loaf is better than nothing. This is very misleading in running a…

Read More

The export-led growth model that does not generate tax revenues is unsustainable

Guyana’s oil export led growth model leaves important gaps in Government financing that could pose sustainability threats for whichever Government is in office. One has to go back to fundamentals and ask if the engine of growth makes any contribution to the Central Government’s current or capital budget, beyond its 2 percent Royalty that Guyana…

Read More

The Consumer Price Index used by both Bureau of Statistics and Bank of Guyana for 2023 are inconsistent with the financial system data

Dr. Ramesh Gampat SN letter September 8, 2024 questioned the ‘credibility of inflation data’ by the Bureau of Statistics namely, the annual inflation rate for 2023. The number used lies somewhere between 1.6 percent and 2 percent. These numbers are inconsistent with financial system data. Guyana’s Consumer Price Index for January 2023 was 130.7%, ending…

Read More
Three aspects should be covered in talks between teachers’ union and gov’t

Three aspects should be covered in talks between teachers’ union and gov’t

There is indeed a real urgency to reach a satisfactory Teacher-union versus Government administration wages and salaries plus benefit package adjustments for teachers, some of whom are parents. Parents’ empowerment must also be considered additionally because of their special role in raising their children who will form part of the Guyana labour force. There are…

Read More
Is the oil sector contributing to national development proportionate to its size

Is the oil sector contributing to national development proportionate to its size?

Articles by Dr. Tarron Khemraj appearing on his business page in SN 2023/09/24 and SN 2023/09/10 require some comments, since the use of ‘Balances from Abroad’ imply that Commercial Banks have readily available sources of foreign exchange that are liquid balances and can be deployed to make good any foreign exchange ‘shortage’ affecting the Private…

Read More
Guyana's Oil Economy

These issues are very important as Guyana’s new oil economy unfolds

There are important issues raised in Joel Bhagwandin’s [JB] letter in SN – March 26, 2023 that are very important for Guyana, as the new oil economy unfolds. Principles related to ownership rights and corporate funding determine future incomes earned from such ownership rights. Future tax payments are also related to the classification of corporations…

Read More

Missing revenue from contractor’s oil profits raises serious questions

Dear Editor, Guyana’s profits taxes that are required under the 2016 Stabroek Contract should count as tax revenues. Here are the relevant points from the contract: ●             Tax is required to be calculated for the contractor, Article 15.2. ●             Tax is required to be paid by the Minister of Natural Resources on behalf of the…

Read More