Georgetown: The International Monetary Fund (IMF) has revealed that Guyana, along with the Dominican Republic and Jamaica, are the Petrocaribe countries least affected by declining oil prices.
IMF Western Hemisphere Department Deputy Director Adrienne Cheasty, in a press conference in Barbados and webcast on Wednesday, made the disclosure as she gave insight on how member countries are impacted by the fall in oil prices among Petrocaribe member countries. “The drop in oil prices is more complex for the members of Petrocaribe than for other oil importers,” Cheasty said.
Petrocaribe was created by Venezuela in 2005 to supply fuel under soft conditions to 18 member countries, including Guyana and some of its Caribbean neighbours.
The IMF Western Hemisphere Department Deputy Director stated that Guyana was listed as one of the countries whose Government was most prepared for a financial response. The countries that are most affected by the decline in oil prices were Haiti and Nicaragua.
They were hardest hit because they do not have large reserves or a robust domestic financial market, quite similarly to what happens with Belize. Oil’s current price of around US$50 per barrel is half of what it was in June last year and has affected countries throughout the region.
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