The Cooperative Republic of Guyana and African Export-Import Bank (Afreximbank) have concluded a two-day roadshow to promote access to a US $1-billion oil services financing facility announced by the Bank in February this year during the Guyana Energy Conference. The roadshow which was held from 21 to 22 May in Georgetown, Guyana, brought together players in the oil and gas sector, finance sector and the government circles as it sought to encourage local participation in Guyana’s rapidly growing oil and gas sector.
Themed “Empowering local content participation for sustainable prosperity through the implementation of Afreximbank mandate,” it highlighted the nexus of Afreximbank’s mandate in the promotion of local participation in Global Africa and indeed in Guyana. Guyana’s economy has been growing rapidly and is expected to record a GDP growth rate of 14% in the next five years, supported primarily by the expanded activities in the oil and gas sector and other non-oil sectors.
Driven by the growth prospects, the Government of Guyana introduced a Local Content Act in 2021 to optimize economic gains from the oil and gas industry by strengthening the local value chain and prioritizing the use of domestic labor, goods, and services. The policy is built on the pillars of local resource utilization, capacity building, value retention, multi-stakeholder collaboration, and operational efficiency.
Several Guyanese companies, including business intermediaries, SMEs, and financial institutions, attended the Roadshow, engaging directly with the Bank on its strategic support for Guyana’s transformative development journey.
“There is a deep and profound historic tie between Africa and the Caribbean, a tie that is rooted first and foremost in our people and our culture. But there are also remarkable economic opportunities between us that have remained untapped and under tapped for far too long,” said Dr. Ashni Singh, Senior Minister in the Office of the President with Responsibility for Finance and the Public Service.
“Our US$ 1-billion oil servicing finance facility for local content players in Guyana is not just a promise; it is an initiative we intend to fully implement,” added Mr. Okechukwu Ihejirika, Afreximbank’s Acting Regional Chief Operating Officer for the Caribbean. “Through it, we will empower local Guyanese businesses to participate in the transformative opportunities available in the oil & gas sector. We are therefore here to listen, to engage, and to chart a path towards sustainable and shared prosperity.” Mr. Iherjirika said that it was imperative that local businesses also benefit from Guyana’s oil wealth.
The Bank introduced a comprehensive suite of solutions, including funded products (loans and credits), non-funded instruments (letters of credit and guarantees), and key trade facilitation tools such as the Pan-African Payment and Settlement System (PAPSS) and the Afreximbank Trade Payment Services and Facilitation Program. These offerings—alongside treasury and settlement services—are tailored to deploy the new financing facility effectively and catalyze greater private sector participation in high-growth sectors like oil and gas.
The two-day roadshow concluded with the identification of immediate projects and interventions for the Bank in Guyana. These include capacity building program, development of select national infrastructure projects and support to intermediaries in the oil and gas value chain.
