Guyana is now RICH because of OIL? or Is it?

By: Shivanie Mangal 

I recently visited Guyana after many years and returned to Canada with $500+ USD cash just for being a Guyanese citizen. Not gonna lie, it was such a sweet treat to just receive money - who doesn't like free money! Ahh, brand new oil money from a country I haven’t lived in for years and tax free too. It was also nice especially that I had envisioned giving gifts and money to family and friends. Being back in Guyana, I was surprised to see the length and magnitude of improvements in infrastructure and construction ongoing EVERYWHERE. I mean, I saw a new North American style highway that was lit all the way to the airport; a roundabout; an overpass in the beginnings of construction; a state of the art airport and many new buildings and names which were never synonymous with Georgetown - Exxon Mobil. Gone are the days of walking in the rain off the plane at the Cheddi Jagan International airport. Notwithstanding, I flew with American Airlines instead of my nemesis - Caribbean Airlines. I also heard alot about expats, North American fast food chains, grocery stores like those overseas and prices that locals cannot afford too. Did I mention the Hard Rock Cafe on the East Coast of the country? 

My visit allowed me to have a much needed culinary re-familiarization of old school traditional fireside foods - curried duck and chicken, squash, mango curry, fried rice and the whole lot. For me, this is the best way to cook and enjoy Guyanese food. I also thoroughly enjoyed getting the black pat (black ashes caked onto a cooking vessel from using wood) on my hands and clothes randomly—just kidding! 

Source: Author’s own collection 

I also sensed a new trait in the locals. I saw firsthand a sense of pride and passion for being Guyanese citizens that I myself have never really felt (a story for another time). The people I came across all seem to bask in the idea that “Yes, we are finally here, we have oil, we are worth something, and that something is to be very proud of”. I also saw how the standard of living was high. For example, $100,00 guyanese dollars ($650 CAN) was the minimum wage for an average government worker. Additionally for example, a charles chocolate bar cost around $300 - so essentially a $1,000 guyanese dollar is nothing. Needless to say, a million dollars ($6,500 CAN) in Guyana is easily taken home per annum by many individuals. The prices were staggering and vegetables seemed to cost an arm and a leg. Not to mention, some of the faces I saw, I didn’t recognize. I ventured into the capital city one rainy afternoon in February. The flooding in the city was the same as I remembered but there were many foreign faces. There is a large influx of various surrounding nations near and far such as Venezuelans, Haitians, Columbians, Brazilians, Indians etc. I also learnt that Spanish is fast becoming a second common language spoken among communities. 

The economic, cultural and technological landscapes are changing rapidly. I mean, I was a bit surprised to find articles while researching about Guyana written in the New York Times, BBC, Harvard and Bloomberg sources. It’s refreshing to see this 

international attention on my tiny homeland for important narratives and research analyses. According to the S&P Global (2023) “Guyana’s offshore oil sector is booming, with over 11 billion barrels of oil equivalent of resources discovered so far”. Moreover, a Harvard International Review article also stated that “oil already generates US$1 billion in revenues annually for the government and will produce an estimated US$7.5 billion by 2040”...That’s a lot of Uncle Sam (local colloquial reference for US dollars). 

Photo adapted from https://hir.harvard.edu/a-path-to-prosperity-for-oil-rich-guyana/ 

How I received the $100K: I first had to register at a community center with a piece of Guyanese identification and provide details such as local address and phone number. I was lucky because the schedule for distribution coincided with my time in Guyana which was not planned. I was able to track the progress of my cheque being approved online. A few weeks later, I went in person to uplift a precut cheque. It was bankable/cashable right away at any bank in Guyana. I feel grateful to be able to receive such a gift. I present below a summary and examples of ways this oil money is being invested into the local community and to Guyanese citizens. 

This is excluding all the advancements to technology, infrastructure and reforms taking place. 

All amounts in Guyanese dollars: 

$200,000 cash grant: for every  guyanese citizen over the age of 18 years old.  *paid in two installments.	$200,000 cash grant: for every overseasbased guyanese citizen provided that they are physically in Guyana to register and uplift the cheque. *paid in two installments.
National Insurance Scheme (NIS): one-off payments to senior citizens who have attained the age of 60 on or before December 31, 2024, but did not meet the minimum requirement for the NIS pension.  -500 to 549 NIS Contributions  –$260,000  -550 to 599 NIS Contributions  –$390,000  -600 to 699 NIS Contributions  –$520,000  -700 to 749 NIS Contributions  –$650,000	University of Guyana tuition is now free for all Guyanese students from January2025 for Diploma, Bachelor's, Master's, and PhD programs.
‘We Care’ cash grant: $55,000 per student in public and private schools.	‘Newborn’ cash grant: $100,000 for every Guyanese mother with a child born in 2025.

I leave you with a question: how do you feel about the narrative around the discovery of oil in Guyana? 

And in case you were wondering how I spent my $500 oil money—I paid for my return ticket to Toronto and gave the loose change away to my airport driver.