Guyana’s government has been accused of adopting a “mad man” approach to borrowing, according to a recent editorial by Norton in the Kaieteur News. The piece argues that the country’s heavy reliance on debt could jeopardise future generations if not reined in.
The editorial points to the Natural Resource Fund (NRF), which is set to receive larger inflows of oil money following ExxonMobil’s renewed investment in Guyana’s offshore fields. The NRF is intended to channel sovereign wealth into long‑term development projects such as infrastructure, education and health, but the author warns that the current borrowing strategy could undermine that goal by diverting funds toward short‑term debt servicing.
Norton stresses that strict borrowing policies are essential. “Borrowing should be measured and transparent, with clear repayment plans that do not burden future citizens,” he writes. He calls on policymakers to adopt a disciplined fiscal framework that balances immediate infrastructure needs with sustainable debt levels, citing examples from other Caribbean nations that have successfully limited debt‑to‑GDP ratios.
The article notes that unchecked borrowing could lead to higher interest payments and reduced fiscal space for social spending. It also highlights the risk of a debt trap that might force the government to cut essential services or raise taxes in the future. The piece urges the use of debt sustainability analysis and regular independent audits to keep borrowing in check.
In closing, Norton urges the government to halt its “mad man” borrowing tactics and to use the NRF’s new revenue stream to build a resilient economy that protects the interests of Guyana’s next‑generation citizens. He calls for a public consultation process to set clear borrowing limits and to ensure transparency in how oil revenues are allocated.
