Responding to media outlets reporting that the Government of Guyana has borrowed over $900 million USD from the Islamic Development Bank; the Ministry of Finance issued a press release, clarifying the government’s move. The release notes that no money has been borrowed as of yet. Rather, the Government has access to loans and grants totaling $900M USD.
THE MINISTRY OF FINANCE’S FULL STATEMENT BELOW:
“The Ministry of Finance notes the conclusion reached by some media houses that Guyana is a recipient of US900M loan from the Islamic Development Bank (IsDB) and wishes to clarify that contrary to that conclusion, the IsDB has a resource envelope of US 900M that is potentially available from which the Government of the Cooperative Republic of Guyana can borrow. The Minister of Finance, Hon. Winston Jordan in his speech to the 43rd Annual Meeting of the IsDB Group was clear in his identification of the named sum.
The following facts will offer more clarity on the named sum.
During the period 27-29 November 2017, the IsDB mounted a mission to Guyana to develop a medium term work plan for the period 2018- 2022. That work plan outlines a pipeline of projects that the Bank can support over the next 5 years.
The potential areas of collaboration between the Bank and the Government of Guyana cover several development sectors including Agriculture, Banking and Finance, Human Development, Energy and Rural Development.
The current package of potential projects, consisting of proposed grant and loan operations is valued at approximately US$900M. The Government is currently in the process of designing projects to commence accessing some portions of the IsDB resources.”