Shrewd policies have saved the country

Oct 10, 2008 Features / Columnists

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So many things have gone wrong recently that analysts have been wondering what could have been the case that governments have had to make such radical changes.

Food prices have gone up as have oil and other prices; businesses are collapsing and in large countries more and more people are joining the breadline.

Guyana has not escaped the effects of some of the things now afflicting the United States and the rest of the developed world. Its banks are far from collapsing and there is no need for people to worry about losing their jobs.

Even the insurance companies that reinvest and so be in a position to earn enough to pay the policies when they become due say that while some of the entities with which they have invested maybe in trouble, for the greater part they, the insurance companies, are not going to be badly hurt.

When the global food and oil crises hit, the critics in Guyana set about blaming the government and some even mounted protest marches.

The leaders in government tried to explain but being bent on doing anything to make the government look bad the opposition did not even deign to listen.

Today the situation in many developed countries is so dire that Guyana cannot help feeling the effects because many Guyanese live in those countries and they remit money that goes toward helping their relatives back home.

Remittances are going to be affected and so too will the lives of some of the people in this country. The critics are going to blame the government.

Many do not realize that shrewd economic policies have protected this country and that the government did not rush to follow many countries into investing with those entities that have now collapsed.

Instead, the focus was on making people more self-reliant and more productive so that they could take advantage of the many situations that arise.

It has not escaped the notice of the government that what started off as an economic crisis in the United States has spread around the world to the extent that few countries have not been affected.

Some foreign governments have had to adopt measures that would have drawn strong criticisms a few years ago. For example, Britain has had to take over private banks.

Had that been done in Guyana through the process called nationalization, the hue and cry would not have been over as yet, although nationalization was once a part of the country’s economic development plan.

The very countries that criticized nationalization as a communist act are now doing the same in the interest of their own development.

There is a major task ahead; the authorities have got to sit and examine every situation so that the necessary adjustments can be made.

Loans which are so necessary for development will be hard to come by so the government will have to find money elsewhere and most of the government revenue comes from exports and taxation.

However, realising that a government can only tax people so much, the government must do other things and among these is the need to seek new trading partners.

At present, India and China as well as Guyana’s South American neighbours offer the best possibilities because of their large populations and their corresponding economies.

But it is not all bad because while certain things are becoming all but impossible on the one hand, others are moving in the opposite direction.

Food prices have risen but oil prices are falling to levels that will more than offset any rise and therefore negate the need for additional government spending. Other prices are falling too—rice, wheat and soya.

Things would have been so much better if the people of this country could have all worked together instead of seeking to find fault with every government activity and decision.

A concerted agricultural effort would have made this country one of the most sought after destinations for others in the region because food is crucial to every aspect of national life.

But there is more to national life. Guyana over the years has lost its skilled people to others who tended to offer what in the eyes of Guyanese seemed so much more.

The recruiting countries offered a chance for what was perceived as a better life. Perhaps the time is ripe for this country to woo those who left because a golden opportunity beckons.

There are numerous jobs waiting to be had and the return of the skills can help this country really move forward.

The critics blamed the government when the people left; they must not blame the government when these skilled people return; they must not blame the government for certain decisions because those decisions have actually saved this country from the woes of many others.

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