Finance Minister declares US$2B MoU will have “lasting transformational impact”

The historic US$2B Memorandum of Understanding (MOU) signed Wednesday between Guyana and the US EXIM Bank will have a lasting transformational impact on Guyana. It was revealed that the agreement was signed in Washington D.C, between Foreign Affairs and International Cooperation Minister, Hugh Todd and president of the EXIM Bank, Reta Jo Lewis.

The MoU is expected to see Guyana benefitting from direct loans and medium and long-term guarantees, to finance US exports to Guyana for government projects. It was noted that specific focus will be on infrastructure, energy, water and sanitation, Information and Communications Technology and food security.

Finance Minister, Dr. Ashni Singh was quoted as saying that the US remains a major global economic player and has provided support to Guyana in a number of areas ranging from economic to the protection and preservation of democracy.

“The sheer scale and magnitude of the US$2 billion is by no means a small amount of money. Two billion dollars is at a scale that could really have significant and lasting transformational impacts,” Dr. Singh said.

Minister Singh pointed out that Guyana has not been shy in associating itself with the Caribbean as it is one of the founding members of CARICOM, noting that since taking office, government has taken up a leadership role in CARICOM, especially regarding food security. He stressed that the transformational impacts of the agreement on Guyana will also impact the rest of the Caribbean.

“Because the truth is that an investment in Guyana is an investment in the Caribbean. An investment in infrastructure that will advance the food security agenda, that will advance our capacity to produce food or an investment in energy that will enhance our capacity to produce value added agricultural produce, is an investment not only in Guyana but an investment in the Caribbean,” the minister explained.

It was revealed that the EXIM Bank is the official export credit agency of the US Government which provides financing and other instruments to promote economic development in partner countries.

As such, the signing was the first framework agreement Guyana has concluded with EXIM Bank. President Irfaan Ali, following the signing of the agreement, said it was the “single most important” signing for not only Guyana but the entire Caribbean.