WIN flags limited oversight, transparency in oil sector as withdrawals expand

Feb 03, 2026 News

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(Kaieteur News) – Despite the heavy reliance on oil revenue to fund this year’s budget, oversight and transparency in the sector remains limited.

Highlighting this observation was Opposition Member of Parliament (MP), Dr. Andre Lewis, the opening speaker of this year’s Budget Debates.

During his 35-minutes long contribution, the We Invest In Nationhood (WIN) MP addressed the heavy reliance of oil and gas revenue, raising concerns about availability of funds for future generations.

Lewis said, “Withdrawals from the Fund are becoming routine rather than cautious, and there is no clear plan for how spending will be adjusted if oil prices fall or production slows. A country that depends so heavily on oil must be careful, disciplined, and forward-looking.”

He was keen to note that while the Budget repeatedly references strong growth, this growth is not driven by higher productivity, stronger exports, or a more competitive private sector.

To this end, he warned, “Growth that depends on government spending is fragile. When spending slows, growth will slow with it. This means Guyana risks building an economy that looks strong on paper but weak when oil revenues level off.”

Moreover, the MP said, “Oil and gas is the most important sector in our economy, yet oversight and transparency remain limited. While allocations are made for petroleum management, there is little public detail on how monitoring, auditing, and enforcement will be strengthened.”

As such, he pointed to the need for Guyana to be strong, informed, and independent as large multinational companies dominate the sector.

Lewis noted that across the Ministry of Natural Resources, the Budget shows large allocations for mining, petroleum management, environmental oversight, and energy-related activities. However, he said that spending is expanding faster than institutional capacity as procurement systems, staffing, and project management have not grown at the same pace. To this end, he pointed out that when institutions are stretched, money is wasted, projects are delayed, and outcomes fall short.

Shifting his attention to the energy landscape, he explained that while transformation in this sector is touted as the solution to high costs and competitiveness challenges, large energy projects often face delays and cost overruns.

Consequently, the MP suggested, “Without clear cost-benefit studies, timelines, and independent oversight, promised benefits, such as lower electricity costs for households and businesses, remain uncertain. If costs rise or projects stall, the public bears the burden.”

He believes that a clear long-term strategy for managing oil wealth responsibly is missing from the Budget.

“There are no stronger fiscal rules, no clearer limits on spending during boom years, and no serious plan for diversification beyond oil and extractives. Public spending alone cannot deliver lasting development. Without productivity, skills, innovation, and a competitive private sector, Guyana risks becoming more dependent on oil, not less,” he added.

Strengthening institutions

Flagging yet another concern, the MP pointed out that spending is expanding faster than the country’s institutions can manage. “Oversight systems, audits, procurement controls, and parliamentary scrutiny have not been strengthened at the same pace as expenditure,” according to him.

As such, Lewis warned that when accountability does not grow alongside spending, waste and inefficiency become real risks.

Although the $1.558 trillion budget is themed “Putting People First” the WIN MP argued that families believe the fiscal plan does not adequately address their everyday pressures.

“Food prices remain high. Transportation costs continue to rise. Housing is becoming less affordable. In many communities, basic services are unreliable. People need steady jobs, affordable services, and incomes that keep up with the cost of living,” he urged.

Additionally, the MP said development remains uneven across the country as its benefits are not felt equally. Hinterland, riverain, rural, and mining communities continue to face higher costs, weaker services, poor infrastructure, and limited access to opportunities, according to the MP. He pointed out that a Budget that truly puts people first must ensure that no community is left behind, regardless of geography.

Mining

Shifting his attention to the mining sector, the WIN MP highlighted that there are more than 150 landings across the hinterland mining regions, yet there is only one Guyana Gold Board sub-station currently operating at Mahdia, with one additional sub-station being established at Puruni.

This limited presence makes it extremely difficult for miners and licensed buyers to operate legally and efficiently, according to the MP. In many cases, reaching these facilities requires long and costly river or air travel, making compliance impractical.

As a result, buyers are discouraged from operating in the hinterland, and miners are left with few realistic options to sell their gold through formal channels.

“Putting people first means ensuring access, fairness, and inclusion, not creating systems that make compliance impossible for those who live and work in the hinterland,” the MP stated.

In Region Nine, Marudi, Lewis pointed out that there is a failure of oversight, enforcement, and the State’s duty to protect Indigenous people.

“Mining has reduced safety, weakened Indigenous rights, and created security risks. Heavy machinery and foreign workers have disrupted daily life, with large vehicles moving through villages without proper control, putting residents at risk,” the MP said.

Further, he noted that the reports of robberies and abductions, allegedly involving Brazilian nationals, point to growing lawlessness, weak border control, and poor enforcement, leaving communities to feel unprotected.

In the meantime, he said mining often continues without proper consultation or consent, as he called for allegations of officials having interests in Marudi mining to be investigated.

Gold smuggling

While the government heckled, Lewis continued to highlight concerns that a significant portion of Guyana’s gold is being diverted across the country’s borders to Venezuela by a specific gold dealer.

“Before the Guyana oil era, gold represented approximately 35% of our national budget and was a significant foreign currency earner. Today, this vital role as a foreign currency earner is more critical than ever. Guyana consumes roughly US$5 billion annually, while our gold exports should be earning us US$3 to $4 billion. Because our gold is leaving our borders illegally, we are seeing a crisis in the forex market,” the MP said.

He noted that commercial banks are selling US dollars wire transfers at $216.50, while the rate for US cash has spiked to $240/1. This disparity is a direct hit to the pockets of every citizen, according to him.

The MP suggested that if this gold is secured and the revenue is properly managed, the country would see a drastic reduction in the cost of living. Furthermore, this would provide immediate relief to middle and low-income earners who are currently struggling under the weight of high cost of living as a direct result of high US dollar exchange rates.

As such, the MP called for immediate and enhanced border protection and intervention, through increased surveillance and investigating suspicious dealers.

He was keen to note that Guyana’s gold must not be used to build other nations and individuals while Guyanese suffer.

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• Andre Lewis, Budget debates, limited oversight, oil sector, Transparency, win

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