Guyana is still awaiting word from the World Bank on the status of its request for a loan to fight the novel coronavirus disease (COVID-19) here.
“It is still being processed,” Public Relations Officer at the Ministry of Finance Wanita Huburn told the Stabroek News yesterday, when contacted.
Minister of Public Health Volda Lawrence yesterday reported a total of 12 confirmed cases, inclusive of two deaths.
Two weeks ago, during an interview on the state-owned National Communications Network (NCN), Minister of Finance Winston Jordan had announced that this country had sought a US$5 million loan from the World Bank, to implement measures for tackling the virus, which has already had a devastating global impact and continues to spread.
“We have already sent a request to the World Bank to access funding under their (the bank’s) Rapid Response Facility and we know the request is being considered,” he said. “We do not know if it will do, but let us say it is an initial request…if it (COVID-19) gets out of hand, we will see if to make another request,” he added.
The Minister has not disclosed what could be the possible terms of the proposed loan or when this country expects the processing of the request to be completed.
However, this newspaper was told by a source close to the process that this country is optimistic that the World Bank would give the needed funds as it was for a health emergency.
In February of this year, the World Bank Group announced that it would make available some US$14 billion in financing to developing countries to help them respond and thus lessen the impact of the virus that is devastating even developed countries globally.
“The World Bank Group’s package of immediate support will fast track US$14 billion in financing, complemented by policy advice and technical assistance, to help developing countries cope with the health and economic impacts of the COVID-19 pandemic. Through this new fast track package, the World Bank Group will help developing countries strengthen health systems, disease surveillance, and public health interventions, and work with the private sector to reduce the impact on economies. The financial package drawing from across IDA, IBRD and IFC will be globally coordinated to support country-based responses,” the World Bank’s Website states.
“The COVID-19 support package will make available $14 billion in new financing, on a fast-track basis: $2.7 billion from IBRD, $1.3 billion from IDA, $8 billion from IFC (including $2 billion from existing trade facilities), complemented by reprioritization of $2 billion of the Bank Group’s existing portfolio. It will also include policy advice and technical assistance drawing on global expertise and country-level knowledge,” it adds.
On March 17, it announced that the Boards of the World Bank and IFC approved the monies, even as it stressed that the US$14 billion fast-track facility was a global effort and in this region it will expand beyond the health sector and support countries’ economies with a focus on the most vulnerable people.
While the World Bank Group has said that the loans will be fast tracked, sources close to the process explained that processing still takes time. “It is not an overnight process where you put in for a sum and just get it. It is a significant sum and has to follow the rigid documentation process and meet the terms required by the World Bank,” the official explained.
According to the World Bank, the global economy was already sluggish before the pandemic hit and thus COVID-19 “will place our region’s economies in a more difficult situation, and recovery will require a communal and integrated effort.”
The monies, according to the World Bank, will go towards enhancing disease detection capacities and mobilising surge response capacity through trained and well-equipped frontline health workers.
It explained that there will be a specific focus on migrant and displaced populations in fragile, conflict or humanitarian emergency settings compounded by COVID-19.
