Strong Guiyana economic growth

WASHINGTON, Dec 20, CMC – The International Monetary Fund (IMF) is projecting Guyana’s economic growth for 2013 to be 4.8 per cent continuing the broad-based robust expansion in economic activity over the past few years.

The Washington-based financial institution, which has just concluded an Article IV consultation on the country, said that during the last decade, Guyana’s strong macroeconomic performance has contributed to a reduction in public debt levels and sustained poverty reduction.

It said that the economy has experienced seven years of uninterrupted growth averaging about four per cent annually.

The key pillars of the macroeconomic resurgence have been sustained reforms, in particular the implementation of the Value Added Tax (VAT), favourable commodity prices, significant inflows of Foreign Direct Investment (FDI) and debt relief under the Heavily Indebted Poor Countries Initiative (HIPC) and Multilateral Debt Relief Initiative (MDRI) initiatives.

The IMF said real economic activity expanded by 4.8 per cent in 2012 on the back of broad-based growth in agriculture, manufacturing, mining, construction and other services.