GUYANA UPDATE

August 1995 edition. (Vol 2, No. 12).

GUYANA UPDATE is the monthly newsletter of the Embassy of Guyana, Washington DC, USA. Tel. 202-265-6900 Fax. 202-232-1297

Ambassador appeals:

BEAR WITH US

By now it is widely known that the Embassy building is undergoing major repairs. Carpenters, painters, electricians, heating technicians, and other workmen are currently involved in an exercise which has been long over due. The Embassy infrastructure last received some attention in 1982 when some repairs were done to the roof and new carpeting laid down. Since then, no major works have been done ... until now.
The repairs have caused major disruptions. The Embassy was forced to close on a few occasions because the noise, dust, and rubble ripped off from the walls, were unhealthy to the staff. In addition, working space has been taken up by building equipment and materials. On occasions, too, the telephone system ceased to function, and many persons failed to reach the Embassy when they telephoned. Many aspects of our work could not be fully carried out; for instance, it is still proving difficult to even print the Guyana Update, on time, in the large numbers required for circulation. These problems will continue for at least the next two months.
But all of this inconvenience is the price we must pay for improvements. When the work is all finished, we will have a fresh looking building with more working space, and also more space to accommodate our nationals and other visitors. In addition, we are planning to put in place a state-of-the-art telephone system which will make communication to and from us much easier. Please bear with us.

Ambassador Odeen Ishmael

PRIMARY SCHOOLS PROJECT TO BEGIN

The Ministry of Education says its plans are on schedule for a huge school building project to commence in September. The project entails the construction of 43 primary schools and the rehabilitation of 36 others over the next three years - all at a cost of approximately $US51.6 million (at 1995 prices). The Government will provide $US5.2 million of the funds while the Inter-American Development Bank(IDB) will finance $US46.6 million, with the remainder coming through an externally-financed Technical Cooperation Programme. The IDB's share of the cost is already accessible, and the Central Tender Board has completed evaluating applications by contractors for the job. Since it assumed office in October 1992, the PPP/Civic Government has been fulfilling its election promise to improve the quality of Guyanese education by expanding classroom accommodation, enhancing teacher professionalism and providing equality of opportunity for all, at every level of the nation's education system.
The project which will benefit over 50,000 students in all parts of the country is expected to be completed in 1997.

OAS CONVENTIONS RATIFIED

History was made in the Guyana National Assembly when it ratified two important documents of the Organization of American States.
One was the Inter-American Convention on the Prevention, Punishment and Eradication of Violence Against Women which Guyana signed on January 9, 1995. This is the only treaty to recognize violence against women as a violation of human rights. Guyana is the 11th country in the hemisphere to ratify this convention. The Assembly also ratified the Protocols of Amendments to the Charter of the OAS, known as the Protocols of Washington and Managua.
Guyana is expected to present the instruments of ratification of these documents to the OAS shortly.

CRISIS AT UG

The Guyana Government has called upon Dennis Craig, the Vice-Chancellor, and Harold Davis, the Pro-Chancellor, of the University of Guyana to resign their positions at the institution. This follows an escalation of the on-going administration crisis at the University. The Vice-Chancellor Dennis Craig is currently having an on-going verbal battle with the Finance Minister Bharat Jagdeo over funds allocated to the University by the Government. While Craig is insisting that the Government is with-holding funds owing to the University, the Minister is saying that the institution has already been given the money, but that it was misspent by the UG administration. Jagdeo in a statement revealed that the UG has been allocated funds for the 1994-95 academic year, but the administration used it up by paying large salary increases to senior staff. At the same time, non-academic staff are having problems in obtaining salary increases which has resulted in a number of work stoppages. At the beginning of August, the Finance Ministry released $G26 million to pay salaries to the non-academic staff for the months of July and August after the UG administration announced that it had no money to pay them. The Staff Association has called for a commission to investigate the administration of the university. The Guyana Government has called upon the UG administration to furnish it with information on the salaries of senior administrative staff. However, the Vice-Chancellor has refused to comply with this request and has been supported by the UG Council which has a minority of Government appointees. Meanwhile, both Craig and Davis have refused to resign, so the Government is expected to move to Parliament to amend the university ordinance to allow for their removal.

GUYANA GETS PL480 AID

The United States Government has announced the granting of $US3 million in aid to Guyana under the PL480 aid program. Earlier this year the US announced that the PL480 aid program would be discontinued and that countries benefitting from it would lose that assistance. However, heavy lobbying by Guyana in Washington was successful in urging the Clinton administration to continue this assistance to Guyana. Last year Guyana received 6 million dollars under the PL480 program.

NEW DEVELOPMENT PROJECTS

New development projects have come on stream in Guyana. Last week two new access roads were declared open by Prime Minister Sam Hinds. The roads are at Buxton and Mon Repos on the East Coast Demerara. The Ogle Airstrip access road, which has also been re-done, is expected to be commissioned soon. Meanwhile the Government has canceled the contract of the Brazilian company involved in the building of the Essequibo road. The Ministry of Works expressed dissatisfaction over the pace of the work and the quality of materials used by the company. A new road building firm is expected to be contracted to complete the work.

GNEC PRIVATIZED

Cabinet in mid-July approved the leasing of the state-owned Guyana National Engineering Corporation (GNEC), the Lombard Street complex, to a consortium comprising the Laparkan Group of Companies, GNEC employees and a strategic investor. The new leaseholders' proposal includes a 40% participation by workers. The Laparkan Group will also have a 40% interest in the consortium. The 20% holding strategic investor has not yet been identified.

NEW FEES FOR STATE LANDS

The Ministry of Agriculture has announced new increased fees for the leasing of state lands for agriculture purposes. The measure is aimed at preventing sub-letting of state lands by a number of persons. Some persons living abroad and holding leases to state lands, it has been explained, sub-let the land to others and collect hefty rents from the sub-letters. In Guyana, sub-letting is illegal, and Parliament will soon enact legislation to allow the enforcement of action against those who sub-let State lands.
At present, the leaseholders pay the state a mere $15 per acre per year, while the farmers who are renting the lands from them have to pay $3000 per acre per crop. In some areas, many hard-pressed farmers are forced to pay to the leaseholders sums equivalent to three bags of padi ($6000) per acre per crop as rent.
Rice farmers in Guyana are demanding an end to sub-letting and are calling on the Government to cancel all leases to those involved in this activity and distribute the land to genuine farmers. Currently, there is a very big demand for rice lands. Rice production has dramatically risen over the past two years, and this year a record 300,000 tonnes of rice is expected to be produced.
Meanwhile, the Ministry of Agriculture has taken steps to repossess the misused state lands being held for speculative purposes. The authorities will soon be moving to enforce the terms of leases that state lands be used for productive purposes.

HEAVY FLOODS HIT INTERIOR

Due to heavy rains, sections of the upper Mazaruni and the Rupununi have been flooded, and the Ministry of Regional Development and Amerindian Affairs has airlifted large quantities of food supplies to the affected region. The Ministry has also called on the private sector to assist, and a number of firms have readily responded by donating funds to ship more food supplies to the affected regions. The Government has intimated that it may seek international assistance to get food supplies and medicine to the flooded areas.

CELEBRATING EMANCIPATION DAY

Throughout Guyana, events were held during the first week of August to commemorate Emancipation Day. In a message to mark the occasion, President Cheddi Jagan urged every Guyanese to join in the celebrations. He said that the struggles of our African ancestors to destroy the inhuman system of slavery have always been an inspiration to the nation.
"As we celebrate Emancipation Day in Guyana this year, it is with pride that we look back at the courage, sacrifices, strength and legacy of those African ancestors," his message read. He noted that Afro-Guyanese can also reflect on the long road they traveled and the great contributions they made to the evolution of the Guyanese spirit.
"They not only endured the most brutal and inhuman treatment for nearly 150 years before emancipation finally came, but more inspiringly, kept alive the hope of freedom under the most terrible circumstances," the President stated. He contended that they were not afraid to rebel and face the consequences of such rebellions, because they refused to think of themselves as someone else's property.
"Those ancestors and others that followed showed up the value and importance of freedom. We must never take it for granted or be slow in defending it against those bent on robbing us of this hard-won status.
Democracy is merely freedom by another name, and we must steadfastly ensure that it is never again compromised or denied any segment of our population," President Jagan said.

ECONOMIC EXPANSION CONTINUES

Acting Senior Finance Minister Bharat Jagdeo says economic growth continued in the first six months of this year, with all sections looking up, in keeping with earlier projections. Addressing a press conference, the Minister indicated that "real growth expanded by 7 percent during the first half of this year, with annualized growth projections for the rest of the year at 6.7 percent in excess of budgetary projections." He accredited this performance to the traditional sectors, revealing that "rice output increased by 47 percent, forestry by 20 percent, and sugar production exceeding target by 110,000 tonnes." In addition, he said, "engineering and construction expanded by 11 percent, manufacturing by 11 percent and financial services by 12 percent.
On the foreign exchange side, Minister Jagdeo indicated that "export earnings were $US180 million for the first half of this year, while the trade deficit was $US7 million lower than the same period last year." In addition, he revealed that "the supply of foreign exchange to the cambio market in 1995 was almost 30 percent higher than the same period last year"; that "private capital flows have also been increasing"; and that "Government has been transferring more foreign exchange to the cambio system through higher retentions from GUYSUCO and from gold miners exporting through the Guyana Gold Board." The Minister noted that "inflation rates compared favorably with the same period last year" and consumer prices increased by 4.5 percent, "but inflation is beginning to decline gradually and is projected to be within single digits by year-end as forecast in the budget."
Regarding the financial sector, he noted that "confidence in the Guyana dollar has led to notable increases in banking system deposits, attracted by the high interest rates required to preserve financial stability." Nevertheless, he added, "these rates have been declining gradually and supporting the business community."

US EMBASSY ADVISES INVESTORS

The US Embassy in Guyana is advising investors to plan for unionization if they intend to do business in Guyana. In a fairly detailed Commercial Guide, the Embassy pointed to Guyana's booming economic growth, the government's expenditures on infrastructural development and poverty alleviation, and some of the incentives the government is offering, including equal access to privatization opportunities to facilitate investments by foreign entrepreneurs. Once they have decided to invest in the country, says the Commercial Guide, "the US Embassy strongly advises investors to plan for early and orderly unionization."

GUYAID HELPS GUYANA

Executive members of GUYAID (Guyanese Assisting in Development), a charitable organization based in Washington DC in July visited Guyana and met with President Cheddi Jagan at his office and assured him of their continued interest in helping Guyana to develop and prosper.
President Jagan highly commended the efforts of GUYAID over the years and noted the excellent work the group has been doing in education and health. He urged the group to continue being good ambassadors for Guyana in the USA. The GUYAID delegation, during the two-week visit, distributed items to a number of needy organizations. They also donated two barrels of books to the National Library, and distributed prizes for an essay competition they sponsored in coordination with the Ministry of Education.

ASSISTANCE FOR ELECTION WORK

The ambitious drive of the four political parties in Parliament which constitute the Inter-party Committee for Electoral Reform (ICFER) to begin work this year on the 1997 electoral list, has been given impetus by the arrival of a joint International Foundation for Electoral System/Carter Center team in Guyana.
The seven-member team, led by former Canadian High Commissioner John Graham met with representatives of various interest groups to explore areas in which support would be required to get the process rolling, as early as possible. It also met with the ICFER on the issue of expediting the process of electoral reform.

"VISIT GUYANA YEAR"

Plans are progressing well for the launching this month of a brochure organizers say will herald Visit Guyana Year 1996. So said Donald Sinclair, the head of the national Visit Guyana Year committee. The brochure will be launched simultaneously in Georgetown, Miami, New York, London and Toronto with a speech by President Cheddi Jagan on Friday September 1. A pre-recorded speech by the President will be televised at home and abroad. At least 15,000 Visit Guyana Year brochures are being printed for the occasion, but many more will be printed in anticipation of a surge in demand for information on what lies in store for the visitor/tourist.
The idea of a Visit Guyana Year was nurtured by the Tourism Department of the Ministry of Trade, Tourism and Industry, in a bid to encourage overseas Guyanese to visit and consider investing in their homeland.
The Ministry says it expects 250,000 persons to travel to Guyana in 1996 under the programme and is working in collaboration with a long list of suburban, rural and hinterland organizations to provide the best kind of reception possible.

GOVT. CONTINUES TO PUMP MILLIONS INTO GEORGETOWN

For this year, the central government has directly pumped in excess of $80 million into the City of Georgetown, with the government itself undertaking major projects to bring about quick relief to citizens. This was stated by Prime Minister Sam Hinds when he responded to a Parliamentary question by the minority PNC on the subvention or other transfers to the Good and Green Georgetown (GGG) controlled City Council. He said that $54 million was transferred for rates and taxes for buildings in Georgetown, $15 million for a shortfall in the 1995 budget, and another $8 million for urgent repair works in the Georgetown sewerage system.
The Prime Minister also said that government has funded the Georgetown Sewerage and Water Commissioners electricity bill amounting to about $200 million and purchased 12 new sewerage pumps and repaired about 20 sewerage stations that have amounted to over $50 million.

VICTORY FOR GUYANA YOUTH CRICKET TEAM

Guyana retained the 1995 Northern Telecom youth cricket championship which was contested in Grenada during July 14 to August 2. This is the fourth successive year that Guyana achieved this position. This year Guyana is sharing the title with Jamaica and Barbados. Meanwhile four Guyanese have been included in the West Indies youth cricket team to tour Pakistan in October. They include opening batsman Nicholas de Groot, all rounder and leading wicket-taker in the just concluded Northern Telecom Tournament, Mahendra Nagamootoo, wicket-keeper/batsman Vishal Nagamootoo, and fast bowler Reon King.

NEW MARKET OPENED AT GROVE

A new Grove, East Bank Demerara, market to house 29 vendors and which will serve 20,000 residents was opened by Finance Minister Bharat Jagdeo. The community has been without a proper market facility for over a decade. Vendors had to stand in the blistering sun and drenching rain to conduct their activities. The Minister in his address noted that the cost of the facility was $1.1 million, and urged the community to join in ensuring that the facility is properly maintained. The market is equipped with water, security, lighting and sanitary facilities, and is conducive to various types of vending activities.

NEWSBRIEFS

Banks are shifting credit financing from commerce to production, and according to the Finance Ministry, this is a "healthy sign"...

Banks Beer, manufactured by Banks DIH Limited, recently copped a bronze medal at the 34th World Beer Competition in Belgium...

The tax department is setting up is setting up an investigative and enforcement task force as it tightens the campaign against extensive tax evasion...

A team from the Wartsila power company of Poland began discussions in Guyana for the possible signing of a provisional contract to lease an 11-megawatt electricity generating station, worth $US11 million, to the Guyana Electricity Corporation...

Carib Express, the region's newest airline, opened its Guyana link on August 8 with Government officials hailing the service as another boost to the country's tourism sector...

A GDF Special Forces Platoon left for Martinique where they would undergo four weeks of amphibious commando training...

Guyana and St. Lucia are exploring the possibility of promoting the two countries as a twin-destination tourist package, with special focus on the smaller hotels...

The Government's decision to mount an independent probe of the state of affairs at the University of Guyana has been welcomed by many groups throughout the country...

The Governments of Guyana and Cuba on August 5 signed the agreed minutes of the 18th Joint Commission meeting, paving the way for cooperation in new areas...

The stage has been set for the implementation of the 500 kilowatts hydro-power project at Moco Moco in the Rupununi, with the signing of the contract by representatives of the Guyana and Chinese Governments at the Guyana Natural Resources Agency...

The Guyana Oil Company recorded a net profit of $US291.4 million during 1994, as against $US173.2 million the previous year...

A fully reconditioned dragline donated by Ramanand Singh and Sons of Crabwood Creek to the Crabwood Creek-Moleson Jackson local authority has commenced excavation work in the agricultural area...

Patriarch of the Ethiopian Orthodox Church Dr. Abune Paulos has thanked the Government and people of Guyana for laying out the red carpet to himself and his delegation during his four-day visit...

US Ambassador George Flemming Jones handed over a third consignment of medical equipment valued at more than $US600,000 to Health Minister Gail Teixeira. The supplies were secured from excess
equipment resulting from the closure of several US military bases around the world. Ambassador Jones said that Guyana is among countries chosen to receive such supplies...

Guyana is prepared to support the call for a lifting of the arms embargo against Bosnia to allow the hapless victims of aggression to defend themselves. So said a statement from the Foreign Ministry...

The Ministry of Health and the unions in Linden have agreed to appoint a transition committee for the absorption of the administration of the Linden Hospital Complex by the Ministry. The committee is to examine the modalities for the establishment of a non-profit board for the Complex...

Home Affairs Minister Feroze Mohamed led a Guyana delegation to attend the first ever Defence Ministerial of the Americas. The delegation included Attorney General Bernard Dos Santos, the Army Acting Chief of Staff Godwin McPherson and Deputy Commissioner of Police Floyd Mc Donald. The Ministerial was held in Williamsburg, Virginia in July...

Crime Chief Floyd Mc Donald says a team of police investigators is making headway in cracking a major case of fraud in the Guyana Electricity Corporation amounting to over $50 million, committed during the first six months of this year...

President Cheddi Jagan has sent a message to Burmese Opposition Leader, Nobel Peace Prize Laureate Aung San Suu Kyu, who was recently released from house arrest after six years. The Guyanese leader expressed admiration "for your courage and strength under extreme difficulties"...

The Police are investigating a case where a Ministry of Health assistant accountant allegedly ran off to the United States with $430,00 of the Ministry's funds...

A new $7 million nursery school at Byderabo in Bartica was recently handed over to the headmistress and staff by the Government. The school will accommodate 120 pupils...

And at Great Falls, in the Upper Demerara River, the primary school was recently renovated to the tune of $773,000 obtained from the Canadian International Investment Association (CIDA). Volunteers from Youth Challenge International and Great Falls residents provided self-help labor, and together completed the project in eight weeks...

The Berbice Anti-Smuggling Squad (BASS) intercepted two boats transporting smuggled TV sets on the Corentyne River...