While ExxonMobil’s discovery of 9 billion barrels of oil equivalent resources offshore Guyana and the potential it holds for transformational development is seen as a major plus by many for the South American country, there are others who have been advising against the production and sale of the resource for fear of the oil curse.
But former Guyanese Minister of Finance and Foreign Affairs, Carl Greenidge was quick to state that such fears ought to be dismissed since the real issue lies at the heart of proper management.
During an interview on a local radio station, Greenidge said, “…From where I sit, and as an economist, I believe that Guyana’s future is bright. Whether it is petroleum, or gold or diamonds, or daffodils or chrysanthemums, any asset or resource that you have which generates a lot of income, requires that it be properly managed. So, the so-called curses don’t arise from the product, they arise from how you manage it.”
He added, “And if you start off believing that you should not exploit petroleum because the rest of the world is blighted by it…you’re not going to get very far. Our task is not to exploit resources but to ensure that these resources which are public goods, are managed collectively.”
Without the oil resources, Greenidge who is also the nation’s Advisor on Borders, said that Guyana would certainly be “at the bottom of the pile.”
The politician said that while he agrees that the resources alone are not going to solve all of the country’s problems, it will put policy leaders in a position to be able to solve many of them. In this regard, he noted that Guyana would have more than enough to build a world class human resource base which he said is urgently needed given the loss of many professionals to other territories.
The politician said, “…We need to find the means for developing people in new skills in the areas of science and technology and working out ways to hold those skills…The oil revenues can help Guyana address this.” Greenidge further noted that the oil revenues will give the leaders of the day enough revenue to improve the living standards for citizens significantly.
He insisted that once the right policies and oversight mechanisms for prudent management are in place, there is no doubt that oil will be a blessing for the new producing state.
