Latest update March 28th, 2025 6:05 AM
Jan 03, 2016 News
By Leonard Gildarie
The year 2015, surely, must be a watershed year for Guyana.
After two decades, the People’s Progressive Party/Civic (PPP/C) lost its grip on power with a new Government, led by David Granger, sworn in back in May.
The victory was narrow one, less than 5,000 votes. Significantly, there was a larger voters’ turnout.
It pains my mind that once again, largely, we voted along racial lines. The figures said it all. It appeared also the votes of the youths made a difference. The farmers and rural communities, including surprise, surprise, the Essequibo coast, appeared to have made a perceptible shift towards a coalition government – unheard of in voting patterns.
I have said it and will say it again, the traditional way parties have been campaigning for general elections will not work. People are impatient for things to happen. Promises will not be enough. There was a significant number of young people, under 35, that did not care too much about Forbes Burnham or Cheddi Jagan. They were hungry for jobs, opportunities, and a change from some of the arrogant behaviour that seemed to have pervaded the offices of our leaders.
Like I said last week, the city is changing. The place is cleaner and traffic police appear to be more respectful, though my street and so many others in Diamond are still potholed.
We are set to celebrate our 50th Independence with a bang – with big plans for May 26th. But our country is crying for more. There are significant concerns over what appears to be a slowdown in the economy.
Government and analysts alike are blaming this on lower commodity prices for rice, sugar and gold on the world market. But there is also the suspicion – I use the word tentatively- that a clampdown on the drug trade, especially with the presence of the DEA office in Guyana, has played a major role.
Smuggling and the delay in awarding state contracts, due to late passage of the 2015 budget, have also impacted.
The year-end announcement of salary increases and bonuses for public servants together with the normal Christmas spending, together with news that gold, sugar and rice have surpassed targets, will leave the coalition government with something to smile about. But consumer spending is expected to see a reduction, as housewives buckle down this month to get back on track. It is the way it is.
It is my prediction that it will be a tough first quarter for a number of reasons. I understand that the Minister of Finance, Winston Jordan, is set this month to present the 2016 national budget. This is not expected to pass before February. Given delays in the procurement processes for state contracts, we are looking at April for a pickup in spending.
With toned-down Mashramani celebrations in February with many of the events shifted to May for the independence, consumer spending which is expected to drive the economy during this crucial period, will not be anything to boast about.
In terms of gold, we can expect the country to have another year to smile about. The Auroramines and Troy Resources are expected to ramp up productions, with their declarations last year pushing final figures to 450,000 ounces.
I am predicting 500,000 ounces at least with world prices not expected to fall below $1,100 per ounce. I am also hoping that 2016 will see miners moving more into operations that will see costs being slashed and recovery rates improved considerably with new technology. We have been talking and talking, but little progress in this direction.
Rice is expected to pick up also, with Government announcing that production last year eclipsed that of 2014. The Mexican and other markets will help stabilize and keep at bay fears about surplus.
Rice farmers have been doing well in the agricultural aspect, getting more yields per acre. I believe that that Venezuela market is dead. It is time to look at value-added and coops for farmers. We can talk more about this another day.
Sugar- I am worried about this. The production target has been met, but prices and GuySuCo’s operating costs remain unsustainable in the long run.
The administration will be forced to make some tough decisions. I don’t expect to see the state-owned corporation close its doors anytime soon. We will see estates merging to reduce costs. But Guyana can expect another big cash bailout this year. Last year, it was $12B. I am not sure how long we can continue to sustain GuySuCo, but some tough decisions are ahead.
We will not expect oil to come for another five years or so. But Guyana will do well to look elsewhere to learn from oil-producing countries how they manage their proceeds.
Regulatory and other frameworks will have to be strengthened in readiness. The time is now to learn, to ask questions.
I am also worried about small cash crop farmers. They have been planting for generations now, but very little processing is done in Guyana. We see lots of wastage and a cycle of poverty among farmers because of this.
We will have to move fast on cheaper energy, with moves to also make GPL stronger and ready for hydro-electricity.
So we come now to my expectations and plans for this year.
I am not sure how long I will remain at Kaieteur News. I love it here. The newspaper recorded a jump in its sales last year. We have been accused of being pro-Government, anti-Government, anti-Opposition, pro-sensationalism – all sorts of things.
Being an integral part of the newsroom, I am not aware of us being anything except anti-corruption and carrying out our mandate – that is, bringing the news to the people as is. We will continue to do so this year.
This year, the new Government must know that the honeymoon is over. We expect the administration to be accountable and more forthcoming than what prevailed in the past.
We are moving to hold Local Government Elections for the first time in 20 years,
It will be hard fought and will be an indication of the feelings of the populace towards this government.
I am highly unhappy over the running of the NDCs and the Town Councils. A change is needed, desperately. We cannot afford to play politics.
There have been calls by Government for communities to pay more attention to state contracts and report any concerns. I agree. We have been too quiet. It is our money being spent. We have to be unswerving and firm when it comes to demanding the highest quality of service from our public servants and local government-elected officials. They cannot be allowed to run the offices like a private business. We all know what prevails.
I would also like to see a strong Opposition and more participation in the decision-making processes of this country. There are many levels of this – from the National Assembly to constitutional bodies, NDCs, and even in Government.
Five years wasted is a long time.
I would dearly like to see one of our leaders be likened to those that started the phenomenal successes in places like Singapore and Malaysia.
So yes, our leaders, we will be tough in our questions this year.
May God continue to bless Guyana.
Mar 28, 2025
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