Amid complaints by business owners about the shortage of U.S. currency, Vice President Dr. Bharrat Jagdeo has said that some Guyanese are exacerbating the issue by supplying foreign currency to Trinidadians through formal channels or informal reselling ventures.
Dr. Jagdeo made these remarks on Thursday during his weekly press conference at Freedom House – the headquarters of the People’s Progressive Party Civic (PPP/C) – where he addressed concerns surrounding the availability of foreign exchange in Guyana.
According to the Vice President, the demand for foreign currency in Guyana has skyrocketed in recent years from about US$2 billion in 2020 to an estimated US$9 billion in 2025.
This steep increase, he explained, is primarily driven by rapid economic growth and rising imports, but he noted that other less conventional factors may also be contributing.
“We have a big additional demand apart from the growth generally of the economy and the increase in consumer goods, intermediate goods, and capital goods,” Jagdeo stated.
He acknowledged the challenges this creates for businesses and consumers seeking access to forex but maintained that the Bank of Guyana has been managing the situation by intervening in the market when necessary.
“When it takes two weeks to get foreign currency here, you check what happens in another country,” he added. “But we have enough resources to intervene in the market to satisfy the enhanced domestic demand.”
Despite that assurance, Jagdeo said the government has noticed some emerging patterns raising red flags that will require closer scrutiny.
He pointed to suspicions that certain businesses may be inflating invoices to justify higher foreign currency requests, effectively allowing some of that money to be used for transactions tied to Trinidad and Tobago.
“It is believed that some of the payments being made are for goods going to Trinidad as well,” he said.
More troubling, however, is the notion that some Cambios and commercial banks in Guyana may be directly or indirectly selling U.S. dollars to Trinidadian nationals visiting Guyana in search of the currency.
“Locals, too, may be purchasing foreign currency and reselling at slightly higher rates to Trinidadians,” the Vice President revealed.
If verified, these activities could contribute to artificial demand pressures in Guyana’s forex market, making it more difficult for legitimate businesses and importers to access the foreign exchange they need.
Trinidad and Tobago continues to face a foreign currency crunch, with businesses and citizens in that country experiencing delays and rationing in accessing U.S. dollars.
“We’re paying attention to all of it,” he said, adding that more detailed probes may follow.
Only recently, the government injected US$35 million into the banking system to stablise the market.
