The United Kingdom Export Finance (UKEF) Agency, which earlier this year tripled the ceiling of funds it is willing to make available to Guyanese investments, to £2.1 Billion, stands ready to provide funding to the local private sector once proposals are deemed credit worthy.
It was UKEF that stepped up to finance the construction of a multi-billion dollar Pediatric and Maternal Hospital at Ogle, East Coast Demerara (ECD). In a recent exclusive interview with this publication, UKEF Regional Head Camilo Neira said that the agency looks forward to financing not just public, but private sector projects as well.
“The potential is immense. I mean £2.1 Billion is intended to go to all public and private. We haven’t yet engaged in any private sector opportunities, but we’re happy to look into that of course. We need to be careful in terms of credit worthiness. For instance, in Guyana and it happens around the world.”
“We’re open to financing private sector opportunities. But we have to be very careful in terms of credit worthiness. The financials have to be solid. But we’re very much happy to do so,” Neira explained.
Finance Minister Dr Ashni Singh had recently also expressed hope that the agency could eventually finance private sector projects. As a matter of fact, the Minister urged investors who had arrived in Guyana on a UK trade mission, to explore the financing options offered by UKEF.
“UKEF also finances private sector projects. And I don’t think we’ve done a private sector transaction as yet, but I’m hoping we do do a private sector transaction. And I should say that reflecting the UK’s posture in relation to promoting British businesses in Guyana, UKEF and the British government have increased the country’s ceiling.”
“So, there’s £2.1 Billion, if you take out the projects that have already been granted, probably about £1.8 Billion worth of business to be done, financed and supported by UKEF,” the finance minister also said.
The UK-funded $31.9 Billion Pediatric and Maternal Hospital is being built by VAMED Engineering and is on track for completion by the final quarter of 2025. The Paediatric and Maternal Hospital will be a referral centre for women and children. The facility will also have 256 beds and high-quality equipment sourced from the United Kingdom.
The hospital was birthed from a Memorandum of Understanding (MoU) between Guyana and Austria. While the agreement had catered for another set of works, the People’s Progressive Party/Civic (PPP/C) Government had made amendments for the construction of this facility after entering office.
It had been announced in February 2024 that UKEF’s country credit limit for Guyana had been increased, from £750 million to £2.1 billion. Making that announcement was the UK’s Minister for the Americas, Caribbean and Overseas Territories, David Rutley.
He had pointed out that through UKEF, the government would be able to access competitive loans on a term basis for national propriety projects such as social infrastructure, health care and education… though owing to UK’s policy direction away from fossil fuel, the agency would not be funding projects in the oil and gas sector.
“This effectively increases the ability of businesses to access finance for projects and programmes. This effectively enhances the level of potential new business the UKEF can support in Guyana, across sectors in which the UK offer can be more instrumental,” Rutley had said.
The Minister had further noted that British confidence in the PPP/C Government’s stewardship of the economy, which is poised to record real Gross Domestic Product (GDP) growth of 42.3 per cent this year, was responsible for this policy change.
UKEF aids overseas buyers across the world in accessing the financial support they need to procure from the UK, unlocking the potential of the UK supply chain by making their bids more competitive. (G3)
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