Dear Editor,
The world is currently living through a Black Swan event as the coronavirus continues to cause chaos to some countries. The black swan theory, or theory of black swan events, is a metaphor describing an event that comes as a surprise, has a major effect, and inappropriately rationalized after the fact with the benefit of hindsight. Guyana should be prepared if this happens because Guyana can be the next Sri Lanka since we do have debts. According to Professor Dr. Shamir Ally, with myriad multi-million dollar projects slated to shortly come on stream, Guyana’s failure to pay back on loans borrowed to facilitate these projects can lead the country into a severe debt crisis, similar to the prevailing situation in Sri Lanka.
Therefore, it’s possible we could be facing a black swan effect soon. We don’t know what’s going to happen, or when the next pandemic outbreak is. But we need to prepare and have enough emergency savings for Guyana than do luxurious spendings in the future. Sri Lanka’s recession occurred because of of politics, policy and China. There have been years of mismanagement. Sri Lanka imports more than it exports. It spends more than it earns, which resulted in a trade deficit and budget deficit. Five hundred thousand Sri Lankan have fallen into poverty. I don’t want Guyana to fall in poverty, ever. Guyana should never suffer because we want the best for our country.
Sincerely,
Serena Cummings
