HGP Nightly News – While expressing support for the creation of a Guyana Development Bank, opposition figures and civil society representatives are warning that the proposed institution must be protected from political influence and favoritism if it is to succeed.
Speaking during discussions on the proposed legislation, APNU Member of Parliament Dr. Dexter Todd, along with Vigilant Political Action Committee (VPAC) representatives Dorwain Bess and Francis Bailey, argued that the bill in its current form leaves too many unanswered questions about oversight, accountability, and who will ultimately benefit from the bank’s financing.
“We are not against the bank,” Todd said, noting that the APNU had also proposed establishing a development bank. However, he contended that the legislation grants excessive discretion to government-appointed officials and lacks the safeguards necessary to ensure transparency and fairness.
One of Todd’s primary concerns is a provision that exempts the proposed bank from the Financial Institutions Act. He argued that stronger oversight mechanisms are needed, particularly because the institution will be funded with public resources.
“Guyana is starting at the highest in the Caribbean in terms of investment capital for a development bank, but with the least regulation,” Todd stated, while calling for greater involvement by institutions such as the Bank of Guyana and Parliament in monitoring the bank’s operations.
Bess and Bailey focused their concerns on the absence of clearly defined lending criteria in the legislation. They argued that Guyanese should know from the outset who qualifies for financing, under what conditions loans will be approved, and what standards applicants will be expected to meet.
“The banking guidelines should also be published,” Bess said, warning against leaving key lending decisions solely in the hands of directors after the institution is established.
Bailey echoed those concerns, cautioning that the lack of publicly available criteria could create uncertainty and frustration among prospective applicants.
“We don’t want a situation where half of you get your hopes up and then find yourself standing in line one day and get denied because there were no criteria that you could hold them to account for,” Bailey said.
The trio also argued that critical issues such as collateral requirements and interest rates should be clearly outlined in the legislation rather than being left for future policy decisions.
“If this government is saying there will be no collateral and zero interest, then remove the ambiguity and put it in the law,” Todd urged.
Despite their concerns, all three maintained that a Development Bank has the potential to play a transformative role in Guyana’s economy if it is structured properly and governed transparently. They also announced plans to participate in public education efforts aimed at helping citizens better understand both the legislation and how the proposed institution would operate if established.
