Guyana’s Govt ’s transformative infrastructural projects applauded by IMF

The International Monetary Fund (IMF) in its 2022 country report, has applauded Guyana’s profound infrastructural investments, while assessing the economic impact of infrastructure investment,

It was noted that the IMF believes that the investments in infrastructure by the administration will strategically support the country’s sustainable economic growth efforts.  It was revealed that some of the major investments by the government include the construction of the new Demerara River Crossing, the Corentyne River Bridge linking Guyana and Suriname, and the road infrastructure linking Guyana to Brazil.

The New Demerara River Crossing  

The Guyana government through the Public Works Ministry has already commenced the process for the construction of the new bridge, set to be completed within two years.  It was pointed out that early in May of this year, a $52B GUY (US$260 million) contract was awarded to China Railway Construction Corporation Limited for the new bridge.

It was noted that work has already started on this major transformational, investment initiative, which is in line with President Irfaan Ali-government’s development agenda – to expand Guyana’s transport infrastructure.  Further, in line with this development agenda, the Finance Minister, Dr Ashni Singh, had said that the contract signing coincides with several transformative initiatives being undertaken by the government countrywide.

“We are witnessing history today, and not history in the sense of a one-off isolated project, but history in the sense of a major transformative project that is part of a much larger, comprehensive plan for transforming Guyana…the making of modern Guyana is well underway and we, today’s generation, are privileged to be part of it”, Dr Singh explained.  It was pointed out that this new crossing is a 2.65-kilometre bridge, which will feature a modern four-lane structure and a cycle lane, with an expected lifespan of some 100 years.

As such, the new bridge will also provide better connectivity to the existing and the new East Bank Demerara roads, the Diamond-to-Ogle bypass road, as well as the new Schoonord to Parika road on the West Bank of Demerara.

Corentyne River Bridge linking Guyana and Suriname  

It was stated that a US$2M seven-month contract was inked by Guyana and Suriname for the feasibility study and design of the Corentyne River Bridge on May 4, 2022.  It was disclosed that this contract, when completed, will see both countries together awarding the commencement of this massive infrastructure investment by early 2023.  Public Works Minister, Bishop Juan Edghill and his Surinamese counterpart Riad Nurmohamed signed the contract with WSP Caribbean Limited, one of the world’s leading architecture and civil engineering professional services.

Guyana and Suriname have jointly agreed to construct the bridge using the Public-Private Partnership method of procurement with a DBFOM (Design – Build – Finance – Operate – Maintain) model contract. It was noted that once completed, the bridge will transform travel between Guyana and Suriname, forge stronger cultural bonds and knowledge sharing as well as improve economic activities for both countries.

Road infrastructure linking Guyana to Brazil

Subsequently, on May 20, 2022, the government signed a $US190M contract with a Brazilian company, Construtora Queiroz Galvao S.A., to begin construction on the first phase of the road linking Guyana to Brazil.

Phase one of the road will see the construction of a 121 kilometres all-weather road that is 7.2 metres wide two-lane carriageway from Linden-Mabura Hill. It was revealed that the Linden to Mabura Hill road will also include a shared cycle and pedestrian lane measuring 2 metres wide, along with 10 bus stops that cater for persons living with disabilities.

Further, the government has also budgeted for the reconstruction of several bridges and culverts along the Kurupukari to Lethem corridor. Minister Singh had said that the project was decades in the making, and expected that the transformational infrastructure investment would increase economic trade with Guyana’s southern neighbour.

“Our vision for Guyana is one where if you are a farmer producing produce in Linden, you must be able to load your produce up and drive it unimpeded to Lethem and beyond to sell it… if you are manufacturing, any item you must be able to sell as easily in Georgetown and Linden as you must be able to sell in Bonfim and Boa Vista,” Dr. Singh said. Moreover, the IMF report further highlighted that “the construction of new highways, bridges, and roads will help boost the non-energy sector” as the government ramps up significant capital funds to modernise the country.

It was noted that the IMF also believes that the construction sector will benefit from the authorities’ push to increase the housing stock across the country. Further, in all cases, the IMF outlines that “the procurement process will be open and competitive, including public and online viewing of the opening of bids and publication of awardees.”

It was stressed that this is a credit to the PPP/C Government for setting up the transparency framework in developing a One Guyana policy that is seeing infrastructure investment, boosting the non-energy sector as is reflected in the IMF 2022 report. Furthermore, Guyana’s development is expected to be accelerated exponentially and with this in mind $96.1 billion has been budgeted for 2022 for the country’s infrastructure.

It was noted the money proposed will cater for the present and future needs of Guyanese, $76.7B GUY of the infrastructure budget will go towards the development of roads and bridges. Further, with the construction of the Corentyne River Bridge moving ahead, $8.3B GUY has also been budgeted for the upgrading of the highway from Palmyra to Moleson Creek.

In addition, $2.3B GUY has been budgeted for the East Bank-East Coast Demerara Road linkage between Ogle and Eccles, along with $2.1B GUY to commence the widening and paving of the East Bank Highway from Grove to Timehri. Additionally, the rehabilitation of the entire Soesdyke-Linden Highway for $2.6B GUY is currently being mobilised.