Guyana Emerging As The Fastest Growing Economy In 2023

By Anshula Mandaokar , 05 July, 2023

Guyana, a South American country newly, emerged as one of the new hotspots among offshore drilling locations worldwide in 2023. It is one in the race for the world's fastest-growing economy. Guyana is expected to become the wealthiest country in South America with increasing petroleum production and exports.

Guyana is feared to face political imbalance and corruption, similar to Venezuela, which has previously suffered from being an oil-rich country, with 330 billion barrels of oil reserves to its name. According to the new oil discoveries, Guyana is all set to become a significant South American oil producer and exporter with 1.2 million barrels of production by 2027 and become the world's 16th largest petroleum-producing country. The country's economic condition is multiplying with a record of 400,000 barrels of oil production in a day; the growth rate of Guyana's economy was recorded at 62.3 percent in 2022 and is expected to rise by 37.2 percent, with gross domestic product (GDP) in 2023. In 2020, amid the global economic contraction, Guyana emerged as the world's fastest-growing economy, with a GDP of 43.5 percent, followed by a growing economy of 62.3 percent in 2022. According to the Bank of Guyana, the country's natural resource fund has received USD 87 million in oil and petroleum profits for May 2023.

The government of Guyana is much more cautious towards the proper usage of the economic windfall due to oil discovery to fund the country's infrastructural development in constructing and maintaining roads and bridges. Guyana's administration is more drawn towards the right utilization of profits from oil and petroleum in the well-being of the country's population to discard poverty. Europe was reported to be the primary recipient of oil; more than half of the cargo was shipped from South American countries in 2022.