Guyana’s economy grew by 4.2 per cent in 2012

Guyana’s economic performance continues to vindicate government’s efforts over the years to diversify the local productive base and reduce the country’s exposure to external and other shocks, Finance Minister Dr Ashni Singh said on Monday as he outlined some of the macroeconomic measures taken to ensure the continued growth of the country’s economy.
Introducing the 2013 national budget to Parliament, he said, “It is to our collective credit, policymakers, entrepreneurs, and households alike, that our country’s overall economic performance is no longer hostage to the fortunes of two or three dominant industries.
“Today, new and emerging sectors are creating jobs, generating incomes, and producing value added output, while the traditional industries maintain a significant presence on our productive landscape. Together, they make for a resilient economy and more persistent growth into the long- term”.
The finance minister said he was pleased to report that real Gross Domestic Product (GDP) grew by 4.8 per cent in 2012, “a seventh consecutive year of positive growth”.
It is significant to note, he added, that when the sugar sector is excluded, non-sugar GDP grew by six per cent, reflecting the even more rapid expansion being achieved in the rest of the economy. “Guyana’s economic growth compared well with global growth projected at 3.5 per cent in 2013, underlying which is 5.5 per cent projected growth in emerging and developing economies and 1.4 per cent in advanced economies, with a growth profile across countries, much the same as in last year.”
According to figures cited by Minister Dr Singh, regional developments, growth in Latin America and the Caribbean amounted to three per cent in 2012 and is projected at 3.6 per cent in 2013, with Brazil projected to pick up from one per cent last year to 3.5 per cent this year.
Closer to home, growth in the Caribbean sub-region continued to be listless, with 1.1 per cent in 2012 and a projection of two per cent for 2013.
“Much like the global economy in recent years, economic performance in the sub- region has been dichotomous. Whereas the sub-region’s commodity-based economies, particularly the oil and mineral exporters have generally fared well in the prevailing global climate, the service-based economies such as the tourism dependent ones have lagged behind,” he stated.
This distinction reiterates the need for accelerated diversification in, and more effective integration across all the economies of the Caribbean, he further noted. Under the theme, “Overcoming Challenges Together, Accelerating Gains for Guyana”, it is expected that Guyana’s economy will continue to expand under the carefully crafted macroeconomic policies implemented to guide and further strengthen the nation’s fortunes,” minister Singh added.