House approves more than $40b supplementary in funding

To provide increased support for crucial sectors of Guyana’s economy, the National Assembly gave the green light to two financial papers, totalling over $40 billion in supplementary funding.

The Assembly convened at the Arthur Chung Conference Centre (ACCC) on Friday to approve these measures.

Financial Paper 1 was seeking approval for supplementary estimates (current) for advances amounting to $8.6 billion from the Contingency Fund. On the other hand, Financial Paper 2 is set to allocate $32.2 billion in supplementary funding for capital and current expenditures.

Power generation

A total of $16 billion was approved for the Guyana Power and Light (GPL), $4b under Financial Paper 1 and $12 billion under Financial Paper 2.

The government is absorbing the impact of rising fuel prices on the cost of services provided by electricity companies. This is to ensure that it does not lead to higher electricity prices for the people of Guyana.

Prime Minister Brigadier (Ret’d) Mark Phillips further expounded that the sums will not only be spent on fuel but products such as oil and lubricants.

Additional resources of $1.1 billion were also approved to support electricity companies in Linden, Lethem, Mabaruma and Matthew’s Ridge.

Maintenance of ICT Hubs

Recognising the necessity of integrating Amerindians into the digital transformation, PM Phillips noted that the $60 million funding being sought, will be utilised for the maintenance of information and communication technology (ICT) hubs in several villages.

Agriculture

To continue the support given to the agriculture sector, Minister of Agriculture Zulfikar Mustapha highlighted the nature of work to be done with the requested supplemental funding.

For the Guyana Rice Development Board (GRDB), Minister Mustapha pointed out that research and seed production, a programme geared towards eliminating paddy bug infestation, and a transition towards climate-smart agriculture are among the several projects to be continued.

For the Guyana Livestock Development Authority (GLDA), there has been a 12% increase in livestock production. As a result, some $115 million has been approved to facilitate the completion of additional projects undertaken by the GLDA.

The Mahaica Mahaicony Abary/Agricultural Developmental Authority (MMA/ADA) also received an additional $60 million to accentuate works.

“We have more production coming out of this area, we have more pastures…almost 12% increase in livestock production coming out of those areas…so lots of things we have been doing, that is why we need more funds to continue the maintenance of these infrastructures,” the minister pointed out.

Additionally, to increase coffee production in hinterland regions, and to expand new projects undertaken by the ministry, the National Agricultural and Research Extension Institute (NAREI) has been granted nearly $110 million.

For GUYSUCO, Minister Mustapha reminded the House, that the ministry has been seeing successes amidst the challenges faced when planting canes at the various estates. The corporation saw a 28% increase in production over the target set for the year 2023.

He detailed the several pieces of equipment that will now be purchased following the passage of $3.2 billion in capital funding.

Public infrastructure

The house has approved $7.5 billion in additional funds to support essential road and sea and river defence infrastructure, managed by the Ministry of Public Works.

Minister Bishop Juan Edghill defended the allocation, emphasising the various projects planned by the ministry, including $605 million to maintain roads in Regions Two, Three, Five, Six and 10.

“This is largely because of the increase in the number of roads that have to be maintained and the kind of work that has to be done. For example; let us look at the Linden-Soesdyke Highway. We have to pick up the loam and sand. There are times when we have to pick up 40 truckloads of sand in a one kilometre area,” he explained.

Financial Paper 2 also includes $1.6 billion for Sea and River Defense works, $297.4 million to bolster the operations of the Transport and Harbors Department and $247 million for the Guyana Civil Aviation Authority (GCAA) to modernise the aviation industry.

Additionally, $159.2 million was approved for the completion of the Bartica Stelling, and $680.5 million for crucial upgrades to Ferry Vessels.

Furthermore, the government is requesting an extra $904 million, for the construction and repair, of hinterland roads and $600 million to finalise water supply infrastructure for remote communities, aiming to enhance connectivity and infrastructure development nationwide.

Outstanding payments

Furthermore, a supplementary sum of $2.3 billion was approved for several government agencies to settle outstanding payments to numerous suppliers of goods and services.

These include supplementary provisions for the Ministries of Labour, Home Affairs, Health, Legal Affairs, Culture, Youth and Sport, Housing and Water, Human Services and Social Security and the Guyana Defence Force (GDF).

Monies were also approved for Regions One, Two, Six and Ten with the Minister of Local Government and Regional Development, Sonia Parag defending the sums.