Vice President Dr. Bharrat Jagdeo has refuted claims by the political opposition that utilizing the interest earned from the Natural Resources Fund (NRF) could fund higher salary increases for public servants.
In a press conference, Dr. Jagdeo explained that the NRF’s interest, based on its 2022 value of 270 million US dollars, could generate just over 13 million US dollars per year.
This amount, approximately 2.7 billion Guyana dollars, falls significantly short of covering the 6.5% salary increase for public servants, which costs around 7.9 billion dollars.
The Opposition leader had asserted that the NRF’s interest could cover a higher salary increase than the 6.5% granted to public servants in 2023.
Dr. Jagdeo countered this by emphasizing that the NRF’s primary purpose is to secure funds for development.
He clarified that the restructuring of the NRF removed direct charges on it to prevent corruption, ensuring that all expenditures from oil money must go through parliament.
In 2021, the government amended the Natural Resource Fund Act to enhance transparency, revealing accumulated withdrawals for 2023 amounting to $1.002 billion US dollars or $208.4 billion Guyana dollars.
This aligns with the approved total withdrawal of US$1.002 billion for 2023.