World Bank provides US$35M to support Guyana O&G preparations

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World Bank and Guyana Officials signed a policy based loan agreement for US$35 million to support Oil & Gas on July 27, 2018.

The World Bank and Guyana’s Minister of Finance Winston Jordan on Friday, July 27, signed a policy-based loan agreement for US$35 million to support the creation of the financial framework necessary for the Oil and Gas (O&G) industry.

This loan will aid in ensuring that financial policies and mechanisms are in place to allow for the prudent management of the petroleum industry’s finances.

At the ceremony, Minister Jordan indicated that “today’s simple ceremony is to sign the developmental credit that has been extended to us by the World Bank for approximately US$35 million in support of the emerging Oil and Gas sector.”

He thanked the World Bank’s Country Manager Mr. Pierre Nadji for “fast-tracking this facility.”

He went on to say that “the World Bank has made available roughly US$90 million for us over the next 2 to 3 years. We are also in the process of developing another facility that will specifically look at the oil and gas. This one is what we call a balance of payment support.”

It was further divulged that this loan is “one of two in this series.”

Meanwhile, Mr Nadji said that the World Bank “prepared this loan in record time that will support the budget of the Government to help stabilize the financial sector and prepare the grounds for sound fiscal management.”  He further commended the Government for the recently passed financial bills, saying “ The latest legislative acts were passed right in time for this agreement.”