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Guyana
>> Regional Overview >> Guyana Overview
Previous Years' Activities
2002, 2001, 2000, 1999, 1998, 1997
Last updated: 33
THE DEVELOPMENT CHALLENGE: Since Guyana's first freely and fairly elected post-independence government took office in 1992 (after 28 years of authoritarian rule), the country has made substantial progress in transitioning to a market-oriented democratic society. Between 1992 and 1997, significant steps were taken to reform macroeconomic policy and strengthen systems of democracy and governance. Per capita GDP income grew at an average annual rate of 7.3%, exports increased, and external debt declined. However, controversy surrounding the 1997 presidential election and inter-ethnic tensions raised by the three-year legal challenge to overturn the results have slowed the pace of economic growth and democratic reform.
New elections were held in 2001. It was widely hoped that that the outcome would be a positive turning point in Guyana's troubled political history. However, deep-seated ethnic tensions have led to frequent violent conflict between the Afro-Guyanese and Indo-Guyanese populace before and after the election. In an effort to quell civic unrest, the newly elected President sought to find common ground upon which to engage the opposition in reform-minded dialogue. Inter-party task force committees were established to consider pressing national and international issues. The dialogue continues and while the progress made to date is encouraging, the process of arriving at mutually acceptable outcomes has been slow.
Thirty-five percent of the population lives below the poverty line, with 19% living in extreme poverty. Meanwhile, Guyana remains one of the Western Hemisphere's poorest nations: 35% of the population lives below the poverty line (as defined by the Government's recent Living Conditions Survey), with 19% living under conditions of extreme poverty. In 2000, GDP per capita was estimated at $773, while external debt amounted to $1.2 billion and debt servicing absorbed 37% of the Government of Guyana's revenues. The debt is owed primarily to multilateral institutions, and relief will be sought under the enhanced Heavily Indebted Poor Country Initiative (HIPC) in 2002.
Health indicators are similarly discouraging. The infant mortality rate stands at 57 per 1,000 and the maternal mortality at 188 per 100,000 births. In 1999, less than half of Guyana's residents had access to potable water. The incidence of communicable vector-borne diseases, HIV/AIDS, and sexually transmitted infections is high. The situation with regards to HIV/AIDS and sexually transmitted infections is particularly alarming, with HIV prevalence among the sexually active populace estimated at 5% to 6%, the second highest in the Latin American and Caribbean region. Significant out-migration, particularly to the U.S. and Canada, that started in the 1980s continues unabated and has dramatically reduced Guyana's pool of intellectual and technical talent.
Responding in an environment where democratic institutions, private enterprise and civil society organizations are nascent, USAID's modest resources have been targeted at three critical areas of U.S. national interest: fostering economic growth in a transitional economy; encouraging adherence to democratic principles and human rights; and arresting the HIV/AIDS epidemic.
THE USAID PROGRAM:
FY 2002 Estimate: $ 4.1 million FY 2003 Request: $ 3.180 million The Program Data Sheets below discuss the three programs for which USAID is requesting funds. USAID's programs in Guyana address its goal of increasing broad-based participation in the economic and democratic processes. The economic growth program seeks to improve the climate for private investment by increasing the capacity of government to implement economic policy, strengthening the capacity of the private sector to influence economic policy, and increasing the level of support for micro- and small enterprises. The democracy program seeks to encourage more responsive and participatory governance and rule of law through a broad-based approach that is expected to lead to strengthened legislative and election processes, more vibrant civil society organizations, and a more responsive civil and criminal justice system.
The HIV/AIDS program seeks to increase prevention efforts and slow the rate of new infections by encouraging local non-governmental organizations (NGOs) to plan and implement youth-focused prevention activities. Additionally, faith-based NGOs that provide basic care and support services to persons infected and affected by HIV/AIDS are being incorporated into the program.
FY 2002 funds will be used to implement ongoing activities in economic growth, democracy and HIV/AIDS prevention. FY 2003 funds are requested to enable continuation of ongoing activities and to serve as a bridge to a new country strategy for FYs 2004-2009.
OTHER PROGRAM ELEMENTS: In addition to its bilateral program, USAID implements activities in Guyana through the centrally-funded activities of the Bureau for Economic Growth, Agriculture and Trade (EGAT) and the Bureau for Democracy, Conflict, and Humanitarian Assistance (DCHA).
Under EGAT sponsorship, Conservation International is addressing biodiversity issues with Amerindian communities in the Kanuku Mountains. In addition, in a matching grant with the International City Management Association under the Making Cities Work Program, a partnership between Huntsville, Texas, and Guyana's second largest city, New Amsterdam, is being developed to implement a public/private sector participatory planning process.
The local Partners of the Americas chapter (twinned with farmers in Mississippi) is engaged in a Farmer-to-Farmer Program to improve fruit and vegetable husbandry and aquaculture projects. Partners of the Americas is also implementing a dairy development project aimed at improving the nutrition of Guyanese children and expanding dairy production.
Guyana's Institute of Private Enterprise Development is being supported through a microcredit lending facility. Funds from EGAT, along with assistance from the Inter-American Development Bank and the Canadian International Development Agency (CIDA) are helping the Guyana Volunteer Consultancy to develop a program for microenterprise training services.
Under DCHA's University Linkage program, Clark Atlanta University and the University of Guyana have initiated a conflict management program aimed at developing mediation skills among a cadre of promising professionals. DCHA's Denton Program has also been providing free shipping for donated supplies and military excess property for distribution by Food for the Poor.
OTHER DONORS: Donor coordination in Guyana is good. The United States and the United Kingdom (U.K.) are Guyana's first and second largest bilateral partners. The U.K. provides technical assistance mainly in the education, forestry and water sectors and also funds a targeted program aimed at improving the administration of justice and upgrading management skills in the police and prison services. CIDA funding is primarily aimed at strengthening NGOs while the European Union funds infrastructure and economic growth activities. The Inter-American Development Bank (IDB), the largest multilateral donor, provides loans for infrastructure, civil service reform, health reform and telecommunications. The United Nations agencies, including the United Nations Development Program, focus on poverty alleviation and rural development, maternal and child health, constitutional reform, and elections. The UN activities are supported with funds from the U.K., the European Union, and the IDB.
Program Data Sheets
- 504-001 Improved Climate for Private Investment
- 504-003 Improved HIV/AIDS Awareness, Knowledge and Applied Prevention Strategies
- 504-004 More Responsive and Participatory Governance and Rule of Law
Country Background Information Resources
CIA Factbook
Library of CongressNational Geographic Country Maps
State Dept. Country Information
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Last Updated on: May 29, 2002 |
