Attractive Prices
At the time of writing this article, the price of gold had jumped by US$17 to reach US$1,531 from its closing price of Tuesday. The price of this precious metal seems to be in a zone of its own and is leading experts to believe that it could hit US$1,600, or even US$2,000, before the year is out. Such a trend is good news to a country like Guyana that is blessed with abundant gold and other natural resources. But it is gold that is stealing the show. According to the Bank of Guyana (BOG), while other major exports did not fare so well, gold production was up 21 percent in the first quarter of the year. With market prices heading for the stratosphere, the BOG expects gold production to continue growing during the course of the year as miners seek to capitalize on the attractive prices. Unless something dramatic happens, export revenues from gold should expand by about 20 percent and give the Guyana economy a shot in the arm.
No Consistency
Like last year, the expected benefits to the Guyana economy derive more from good fortune than from strategic policy action on the part of the administration. There is no consistency in the direction of manufacturing output and agriculture continues to play its favourite game of hide-and-seek with Guyanese consumers. Describing the first quarter performance as “subdued economic growth”,