-by David Clarke
The latest Inter-American Development Bank Caribbean Economics report has reaffirmed Guyana as one of the world’s fastest-growing economies and the strongest performer in Latin America and the Caribbean.
With Guyana’s economy projected to grow by 16.2 percent in 2026, the IDB says the country now enjoys greater capacity to invest in infrastructure, public services and national development.
For many countries in the region, the challenge remains finding resources for development.
But for Guyana, the conversation is increasingly about how best to use rapidly expanding revenues to transform the country.
The IDB projects Guyana’s economy will expand by 16.2 percent this year, significantly above the regional average.
That growth, driven by both the oil sector and expanding activity across the wider economy, is helping to create fiscal space for major investments in infrastructure, healthcare, education and housing.
And while public spending has expanded, the IDB notes that Guyana’s public debt has declined in recent years.
The result is an economic challenge that is increasingly different from that faced by many of Guyana’s neighbours.
The focus now being, managing resource revenues prudently, strengthening the non-oil economy and ensuring that the benefits of today’s growth extend well beyond the current oil boom.
Fiscal space is ultimately about converting economic growth and petroleum revenues into infrastructure, public services and long-term national development.
And the IDB’s assessment suggests Guyana now has considerable room to do exactly that.