Guyana, a small country found in South America will be finding economic prosperity in the days ahead.
In 2020, Guyana will find economic growth at 86 percent, states the IMF. In 2019, this growth was only at 4.4 percent.
Located in the north-eastern part of South America, Guyana has a very small population and connects Brazil, Venezuela, and Suriname. It is one of the smallest countries in South America.
The reason for the sharp spurt in economic growth in a very short span of time is the high oil reserves found in the country. Its annual GDP which is at $4 billion will expand to $15 billion in another five years, states the IMF.
New oil reserve discoveries continue to be made. Exxon Mobil Corp has discovered oil in this English-speaking nation of South America. Exxon says that it will start pumping oil from next month. Guyana is expected to produce about 750,000 barrels per day by 2025, which will bring in rapid growth.
Finance Minister Winston Jordan says that Guyana will talk a stratospheric leap from a very low base. He says that the government will use the money to build highways and bring in more infrastructures to develop the interior region of the country which has a very sparse population. Income derived from royalties will bring in large revenue, which will be used for the development and inter-generation savings of the country.
The oil sector will form 40 percent of the economy by 2025. This will be the fastest-growing country in the planet in 2020, states the IMF.
Other companies that are searching for oil in Guyana are Tullow Oil Plc, Repsol SA and Total SA.
HIS Markit, however, calls for caution on the development of the country, as there is political instability in Guyana which will hamper this rapid development, from the projected 86 percent growth to 30 percent growth.