As it awaits the arrival of the Indian consultants to oversee the multimillion-dollar upgrade of three primary healthcare facilities here, the Guyana Government will be going ahead to commence work on the Bartica Hospital which is one of the primary healthcare facilities to benefit from the India-funded project.
Public Health Minister, Volda Lawrence recently told Guyana Times International that the consultancy firm was selected by the National Procurement Tender and Administration Board (NPTAB) and that they are now awaiting the arrival of the consultants.
“We have no knowledge of when the consultant is going to be here. We were given a date for late last year – in December – but then we got an excuse that the consultant could not arrive on that date and we will be told when the consultant will be coming but we have not heard [back anything],” she explained.
Nevertheless, Lawrence noted that following discussion with Finance Minister Winston Jordan, a decision was taken to go ahead with some of the works at the Bartica Hospital, which is in dire need of attention.
“So we will not continue to wait. We will begin to do some work in the Bartica Hospital from 2020… What we are going to start doing is nothing outside of what they would’ve done. So the intent is that we will be able to negotiate an extension in another area. So if we do the theatre, then we will be able to ask them to add something else, like a step-down clinic or so, in place of that,” the Public Health Minister noted.
Back in July 2017, Finance Minister Winston Jordan signed the US$17.5 million line of credit (LOC) with the Export-Import (EXIM) Bank of India to refurbish existing facilities and construct new buildings at the Suddie Hospital in Region Two, the West Demerara Regional Hospital in Region Three and the Bartica District Hospital in Region Seven. The line of credit will also be used to procure medical equipment to furnish the new and renovated facilities.
Since the Indian Government is funding the project, it is required that the contracts be awarded to companies from that country.
This project is an initiative of the coalition Government, which wanted to use funds set aside for the controversial Specialty Hospital Project for the modernisation of the three primary healthcare institutions.
However, the Indian Government had committed to providing a separate loan to makeover the three hospitals in exchange for the Specialty Hospital Project to continue. But the Specialty Hospital project fell through.
In a recent interview with Guyana Times International, former Indian High Commissioner, Venekatachalam Mahalingam, who recently ended his five-year tour in Guyana, expressed his disappointment that the project never took off. However, he noted that such a facility is much needed in Guyana, especially with the upcoming economic development the country is about to experience as a result of the oil boom when production commences early next year.
“With the oil coming in and with Guyana’s economy going to develop far better than anyone can imagine, a speciality hospital is required… There will be good demand for such services, and not just for Guyanese,” Mahalingam posited.
With a US$18 million line of credit (LOC) from the Indian Exim bank, the People’s Progressive Party/Civic (PPP/C) Administration was hoping to create a thriving health tourism industry with the construction of a Specialty Hospital by pulling foreigners and overseas-based Guyanese.
However, the project quickly found itself in a series of controversy, causing the then Government to end a contract with the India-based contractor, Surendra Engineering, in 2014, citing instances of alleged fraud and delays. The Donald Ramotar-led regime subsequently filed a billion dollar lawsuit against the firm for failing to honour its obligations. Guyana is yet to recover close to G$1 billion from that company.
While in Opposition, both the APNU and AFC had strongly opposed the Specialty Hospital project and upon its assumption to office in 2015, the coalition had decided to scrap the project, which had already expended some US$4.2 million on certain preliminary works, and use the remaining funds to upgrade several public hospitals.
However, after some convincing by the Indian Government, the coalition hesitantly proceeded with the project, handing it over to another India-based contractor, Fedders Lloyd, to complete using the remaining US$13.8 million. But a few months later, that company was blacklisted by the World Bank until 2020, forcing the project to a standstill once again.
Following this, Government got the US$18 million LOC written off, with the Indian Government taking back the remaining funds and an agreement was signed for Guyana to only pay back the money that was already spent. This paved the way for the new LOC for the upgrade of the primary healthcare system.
