Good investment climate depends on both gov't, private sector
-Go-Invest head
$4.8B to be poured into tourism
Stabroek News
April 11, 2003
Head of the Guyana Office for Investment (Go-Invest), Geoffrey DaSilva, says the responsibility to create a hospitable investment climate falls both on the government and on the private sector.
Addressing a small-business forum at the Cara Inn on Tuesday evening during Development Finance Limited's (DFL) unveiling of its private equity financing and management services for Guyana, DaSilva underlined the role small businesses had played in job creation in the US under the Clinton administration over an eight-year period. He pointed out that 52% of new jobs created in the US in this period were by businesses hiring ten or less employees.
DaSilva said the agency had facilitated 164 projects in 2002 and this figure has already reached 193 for this year from micro to large enterprises. He said 22% of the projects covered were in the micro sector, 45% in the small business category, while 25% are in the medium and 8% in the large sectors. Of this, 74% were projects by local investors while 26% were by foreigners, including overseas Guyanese.
DaSilva said in 2002, $4B was invested in four major factories, two of which are seafood processors and are currently gearing for entry into the European Market. He cited millions invested in the fresh food sector, the wood sector and also light manufacturing and tourism. This year he expects $4.8B to be invested in tourism, $1.6B in light manufacturing and $885M in the wood sector among other major investment activities.
Conceding that the information he was unveiling appeared unbelievable, DaSilva challenged the Private Sector Commission and the Guyana Manufacturers' Association whose heads were present to send any two representatives to his office to verify the information he had provided. It was not a "make up" story, he insisted.
He said contrary to popular belief, things were happening in the local economy and while the adequacy of the level of activity was debatable, activities were ongoing.
Underscoring that the image of Guyana was not being portrayed in a positive light, he recognised that it was the responsibility of the agency he headed to ensure that a balanced view was portrayed of Guyana. He said he intended to work with the media to achieve this.
DaSilva said the agency's silence had been deliberate as it had been trying to create a sheltered environment to work with businesses.
The agency, he told his audience, had not been operating as a one-stop agency but rather a first stop agency. He said investment officers were assigned to individual investors and worked with them each step through to project implementation. The agency has been independently surveyed by USAID in 2001 and 2002 on what it is doing and the steps it needs to take to improve.
Go-Invest, he said, had facilitated investments in the processed food, tourism, wood, information and communications technology and services sectors. DaSilva alluded to much activity in the economy not covered by official statistics.
He did not feel that DFL was targeting Guyana at the wrong time, noting the tremendous potential of the country. He noted the problems as well, including weaknesses in leadership and management at both the public and private sector level but said this did not extend to skill levels.
