PSC knocks APNU for blaming private sector for heavy taxation in 2015-2020

Last Updated on Saturday, 16 August 2025, 10:17 by Writer

Chairman of the Private Sector Commission (PSC), Gerry Gouveia Jr on Friday rapped A Partnership for National Unity (APNU) for saying the private sector had deliberately stifled economic growth, prompting the then government to resort to heavy taxation to keep the economy afloat during 2015-2020.

APNU candidate, Attorney-at-Law Dexter Todd on Thursday night told a public meeting that the business community used its economic power as leverage to force the the David Granger-led APNU+AFC government to fail, as very few APNU or People’s National Congress Reform (PNCR) supporters have that financial might. “All they needed and all they did was to shut down the economical activities in this country, which is what they did so the only thing that remained was taxes to run this country,” Dr Todd said.

However, shortly after attending APNU’s launch of its manifesto, Mr Gouveia told Demerara Waves Online News that “We operate in the environment that is created by the government so it’s not on the private sector. It’s very unfortunate that Mr (Dexter) Todd tried to blame the private sector for what happened in 2015.”

He said the PSC, which would be fielding an electoral observer mission, was paying attention to activities by political parties in the run-up to polling day,

The incumbent People’s Progressive Party Civic (PPPC) administration often reminds Guyanese that the then coalition APNU+Alliance For Change (APNU+AFC) administration had burdened Guyanese with more than 200 taxes which were subsequently removed when the party returned to power in 2020.

The PSC Chairman sought to assure the APNU, if it wins the September 1 general and regional elections, and the broader Guyanese society, that the business community would work with any party that occupies the reigns of government. “We are committed with whatever government is in power and we hope that they understand that the private sector is the key economic driver in the country,” he said.

APNU leader and presidential candidate, Aubrey Norton stood by Dr Todd’s remarks. “I will endorse that; Todd is making a point,” he told reporters after the manifesto launch. He said People’s Progressive Party Civic (PPPC) General Secretary Bharrat Jagdeo, the then Opposition Leader, had called on the private sector to withhold spending. “There is nothing anti-private sector about that. It is factual and, therefore, I support what Todd would have said,” he said.

At the same time, he said if he secures victory at the polls, his administration would work with the business community and implement a number of measures that would benefit the business community. Those include tax breaks and other incentives to create conditions for the expansion of the non-oil sector. “I do not believe that once you disagree, there are tensions. We will engage the private sector. As matured people, we will raise with them the issues we think need to be raised. We will listen to their concern and we will work out an approach with them,” he added.

Following its Article IV Consultation, the International Monetary Fund (IMF) in May, 2025 lauded the performance of the non-oil sector and attributed that to several measures that had been put in place by the government. “Oil production will continue expanding rapidly, and non-oil real GDP growth is expected to remain strong, largely supported by the government’s efforts to invest in infrastructure, including for climate change adaptation, promote economic diversification, and improve welfare,” the IMF said.

The IMF says the economy is expected to grow on average 14 percent per year over the next five years, driven by robust oil production and strong non-oil GDP growth. Positive spillovers from the oil sector and improvements in infrastructure, productivity, and resilience are expected to boost the real non-oil GDP growth to an average of 6¾ percent over the medium term, about 3 percentage points higher than the pre-oil decade average.