By: Tiana Cole | HGP Nightly News|
GEORGETOWN, GUYANA — President Dr. Irfaan Ali has issued a stark warning to the nation’s business community, stating that the escalating military conflicts in the Middle East have created a “massive disruption” that threatens the stability of economies worldwide—including Guyana’s.
Speaking at the Georgetown Chamber of Commerce and Industry (GCCI) general meeting on Friday, March 20, 2026, the President called for a unified front between the government and the private sector to prevent a total collapse of the economy due to inflation.
The Vulnerability of a “Net Importer”
Despite Guyana’s status as a booming oil producer, President Ali reminded the Chamber that the nation remains a net importer of refined fuel. This paradox leaves the local economy highly susceptible to the international price shocks currently rocking the globe.
- The Strait of Hormuz: The President expressed grave concern over threats to the Strait of Hormuz and key Gulf energy infrastructure. “We support every effort to have the Strait of Hormuz open and functional and every effort in bringing the war to an end,” he stated.
- Long-Term Damage: Ali cautioned that even if the shooting stopped tomorrow, the physical damage to global refineries and gas plants could take years to repair, meaning high energy prices are likely here to stay.
A Call to the Private Sector: “Operate at Break-Even”
The President highlighted that the government has already “maximized its tools” through fuel subsidies and the total removal of excise taxes on imported fuel. However, he warned that the State’s treasury cannot bear the burden indefinitely.
- The Sacrifice: President Ali issued a direct challenge to the private sector to temporarily prioritize national stability over record profits.
- The Strategy: He suggested that companies currently operating at a surplus may need to “operate at a break-even” point to stabilize the market and protect Guyanese consumers from skyrocketing costs.
The “Gas-to-Energy” Buffer
Looking toward a more secure future, the President pointed to the Gas-to-Energy Project at Wales as the ultimate solution to external volatility.
“The Gas-to-Energy Project is more than an energy initiative; it is an economic shield. It is a buffer against global volatility.” — President Irfaan Ali
By reducing the nation’s reliance on imported heavy fuel oil for electricity, the project is intended to lower costs by 50% and decouple Guyana’s utility rates from the chaotic fluctuations of the Middle Eastern oil markets.
Regional Self-Reliance
Finally, the President advocated for a broader “Western Hemisphere” strategy. He argued that the Caribbean and Latin America must better utilize their own natural resources to strengthen regional energy security, reducing the “complication of logistics” that arises whenever conflict breaks out across the Atlantic.
