The Private Sector Commission of Guyana informed the IMF that unemployment is mainly voluntary, citing significant job creation due to economic growth, especially in the oil and gas sector. They emphasized the need for targeted training programs and regulatory reforms for better support of Small and Medium Enterprises. The IMF confirmed strong economic transformation linked to these developments.
During a recent meeting with an International Monetary Fund (IMF) delegation, the Private Sector Commission (PSC) of Guyana highlighted the nation’s economic growth and stated that unemployment is predominantly voluntary. With an unemployment rate approximately at 12%, the advancement of the oil and gas sector has notably increased job opportunities.
The PSC emphasized the importance of targeted training programs to better equip the labor force with necessary skills. They reiterated their stance that numerous economic activities contribute to job availability, which supports their claim of voluntary unemployment among the workforce.
Furthermore, the PSC reported a substantial increase in labor costs, exceeding 60% over the past four years, a trend seen as indicative of the country’s rapid economic growth and heightened demand for skilled labor. Chairman Komal Singh noted that growth has been pervasive across all sectors in Guyana, thus intensifying the need for skilled workers.
Singh also pointed out available resources for job seekers, including the Ministry of Labour’s Job Bank and the Diaspora Unit within the Ministry of Foreign Affairs. The PSC touched on the government’s initiatives to enhance the business environment, such as legislative advancements and streamlining processes in trade and construction.
Despite these improvements, the PSC urged the need for regulatory reforms in the banking sector to better support the growth and financial stability of Small and Medium Enterprises (SMEs). While acknowledging advancements by banks to ease business operations, they indicated that further enhancements are essential.
According to the IMF’s initial report post-visit, Guyana’s economic transformation is progressing rapidly, largely driven by the burgeoning oil and gas sector and substantial developments within the non-oil sector. The mission included consultations with key representatives, such as Vice President Bharrat Jagdeo and Finance Minister Dr. Ashni Singh, and occurred from February to March 2025.
In summary, the PSC’s engagement with the IMF underscores the notable economic growth in Guyana, particularly due to the oil and gas sector, and associated labor market dynamics. With a call for further training programs and regulatory reforms, there is a shared vision for enhancing the workforce’s skill set and improving SME financial resilience. The opportunity for job seekers remains substantial, with voluntary unemployment being a significant theme in the discourse. The IMF’s affirmation of this growth adds to the momentum going forward.
Original Source: newssourcegy.com
