Technology to address political interference in development bank’s loan processing

Last Updated on Wednesday, 11 February 2026, 22:40 by Writer

Technology would be used to help block the proposed US$100 million development bank from approving loans preferentially, Minister of Industry and Commerce Susan Rodrigues said on Tuesday night.

The issue was raised by A Partnership for National Unity’s (APNU) Terrence Campbell who declared his support for the bank during consideration of estimates of expenditure in the 2026 budget.

“Bearing in mind the history of these types of financial institutions in Guyana and elsewhere…What would be the oversight mechanism? Is the bank going to fall under the Bank of Guyana in terms of supervision? And what mechanisms will be in place to prevent political interference into loans and by this I don’t mean discrimination? I mean somebody calling the bank manager and say John or Jane has to get a loan,” he said.

In her reply, Ms Rodrigues said that, like the single-window system for processing building permit applications, loan applications to the development bank would be handled by the board, largely assisted by a technology platform to address subjectivity, bias or consolidation of power to stop developments or not grant permits. “This has been a government that has been transitioning, Mr Chair, to e-governance so that we can ensure that all of government services or as far as possible are electronic so that there are safeguards against the very things that Honourable Campbell is raising,” she said.

The minister said Mr Campbell’s question was “very subjective and loaded with insinuations.”

The now defunct Guyana Agricultural and Industrial Development Bank (GAIBANK), which was established under the People’s National Congress (PNC) government in the 1970s, was dissolved in 1995 by the People’s Progressive Party Civic (PPPC) due a high level of non-performing loans, partly owing to politically-influenced loans.

We Invest in Nationhood’s Tabita Sarabo-Halley asked about safeguards against discrimination of applicants for development bank financing.

Ms Rodrigues said the law would govern that financial institution through a board. “This is a government that does not discriminate against anyone,” the minister said, citing several government programmes that are geared towards equity and equality.

She said draft legislation for the development bank would be tabled in the National Assembly to allow for draw down of funds that have been allocated in the 2026 national budget.

Overall, the government plans to inject US$200 million into the bank whose applications would be buttressed by training in proposal writing to assist small and medium enterprises (SMEs) to apply to commercial banks for larger loans of up to GY$7 million.