Big Impact Project

Aug 13, 2008 Features / Columnists

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– Jobs, Jobs and Jobs needed

INTRODUCTION:

We need to get past our thinking that the small initiatives by the government will make any difference in creating an environment where we can create wealth and move up one level more than we are today.

I am amazed that those in authority can keep doling out our hard-earned tax money at their whim, while billions are unaccounted for.

It is good to know that they do confess after, that they made mistakes or did not know that it happened or it was against the law.

If any of us were to take our employer’s money and spend it without anyone knowing, much less confess, we all would be in Camp Street Jail today. Why then do we allow this to continue at the highest level of government?

Over the last several years, it has become clear to me that a fundamentally different approach is needed at the macro-economic level from our public sector leaders in Guyana, to encourage investment and rebuild our business climate.

Much of the energies of investors have seemingly been stymied by the discouraging climate for business in Guyana.

Strange local investment deals are popping up with claims of hundreds of jobs in order to get concessions, but the results we never see.

ANTI-BUSINESS RHETORIC
I get at least one call a week from potential investors, asking me for my opinion on investing in Guyana, and what are the pitfalls.

I am very honest with them, telling them, don’t do what I did, meaning, if you are not willing to become a PPP/C supporter, there is minimal chance your business will succeed regardless of your experience, knowledge and past successes.

None of the PPP/C economic programs to date has yielded real, tangible economic success that is measurable in job growth and personal income for the vast majority of Guyanese.

Continual, grinding poverty, corruption and the lack of work has led to the “stagnant economy”, crime-ridden situation we find ourselves in.

The “plunder” economy we witness daily is, however, the major achievement of the last sixteen years.

CHANGING OUR ECONOMICS
Over the next few years and the next decade we have to radically change the way we manage the economics of our nation.

We need a diverse economic group with a charter and a set of incentives that is ready to attract foreign direct investment and major local investment.

We need political will to re-organize. I have proposed this in many forums before that Economic policy and execution need to be a new powerhouse group that takes away the fragmented approach where certain powerful individuals get a piece of the pie and nothing is done at the end of the day.

All of them sit at the head table, yet they are all doing their own thing with our economy, putting it further in a mess.

This new economic group must be empowered to cut red tape and performance needs to be measured to ensure progress is accountable and not a ruse to facilitate even more plunder. Parliamentary oversight is needed.
Creation of Jobs, Jobs & Jobs by Big Impact Projects:

1. The Brazil Road/Deep Water Harbour – to open up Guyana to the Wider World and encourage cross-border investment.

2. Lead a New Economy Program fully supported by the public sector in terms of incentives, infrastructure, and training for our graduate work force.

Build on India cultural and economic links to generate the national connections necessary to provide real, tangible support for this massive growth opportunity in the area of business process outsourcing.
3. Workforce Development – Coordination & Resources.

Retraining the sugar workers in non-traditional farming and or related industries is vital to the health of our agribusiness sector

4. Export Zones – Export-led development strategies are familiar to economists and developing world experts, yet our government has been slow to embrace the idea.

The development of Tax-Free export zones in current ports and the development of the Tax-Free Export Zone in Hogg Island and Lethem are vital components of a growth strategy that can be an economic driver beyond anything our nation has known in the last fifty years.

5. Education – While arguably not in the portfolio of economics, the educational requirements of economic progress should not go uncoordinated.

One of the striking characteristics of Asian Tiger economies is the degree to which educational policy and institutions are responsive to and integrated with the economy.

The needed upgrades to our educational system are important social issues to Guyanese yet they are also the linchpin for our economic competitiveness.

While many of our schools still look the same as they did 30 years ago, we must work to make sure that they offer curricula and technology that is on par with world standards.

6. Alternative Energy – Guyana needs an aggressive implementation of alternative energy sources to increase our competitiveness and to adequately supply energy to a growing economy.

We ought to seek to lead the region in alternative energy practices rather than whine about the high costs of fossil fuels.

7. Leveraged Success – Guyana needs to focus on the areas where its core capabilities either in agriculture, minerals, tourism, or services can be leveraged to create new markets for non-traditional products.

One idea is to actively support the development of five non-traditional large-scale agricultural programs, such as for peppers.

CONCLUSION
By giving free reign to the private sector, less intervention and more support, eliminating bureaucracy, supporting a viable and transparent commercial legal system, acceptance of CSME and assisting the formation of indigenous regional companies, a new more powerful Guyanese economy can become the engine of growth rather than a downward drag on our region.

An active program of economic development and empowerment coupled with an energized public/private sector partnership can help stop migration, alleviate the scourge of massive unemployment and even add to the public coffers to improve health care, education, and the delivery of public services. Our nation can excel and prosper if we just have the will!

Send comments and suggestions to: [email protected] or www.visionguyana.com

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