Guyana Table of Contents
The reforms introduced by President Hoyte resulted in no immediate progress. A policy framework paper prepared by the government in cooperation with the World Bank and the IMF had predicted that real GDP would grow by 5 percent in 1989. But instead, real GDP fell by 3.3 percent. Economic performance continued to decline in early 1990, according to the United States Embassy. Changes in government policy could not erase the profound difficulties facing the economy: massive foreign debt, emigration of skilled persons, and lack of infrastructure.
But in early 1991, there were signs of improvement: Guyana had rescheduled its debt, making the country eligible for international loans and assistance, and foreign investment surged in the country (see Foreign Investment , this ch.). These changes, preconditions but not guarantees of economic recovery, would not have occurred without the Economic Recovery Program.
Data as of January 1992