The National Insurance Scheme (NIS) has been recording surpluses since 2022, with rising employment and stronger contribution income improving its financial position, according to the International Monetary Fund (IMF).
In its 2026 Article IV Consultation report on Guyana, the IMF said the improvement followed a period of small deficits during 2010–2020.
“The scheme recorded small deficits during 2010–20 but has generated surpluses since 2022, reflecting strong plan contribution growth through rapidly expanding employment,” the report stated.
The Fund linked the stronger performance to Guyana’s expanding economy, while also highlighting operational changes that have improved services to contributors and pensioners.
Outstanding benefit claims and queries fell from approximately 20,000 in 2020 to 3,000 by the end of 2024. Electronic pension payments, introduced in late 2022, have also expanded, with about one-third of pensioners receiving their benefits directly into bank accounts by the end of 2025.
According to the IMF, these changes, alongside other digitalisation measures, have helped reduce costs and strengthen the Scheme’s financial position.
The report also examined the Government’s G$10 billion transfer to the NIS in 2025 to fund one-off payments for approximately 25,000 seniors who had contributed to the Scheme but did not qualify for a monthly pension.
Those beneficiaries fell short of the required 750 weekly contributions by up to 250 contributions. Depending on their contribution records, eligible persons received payments ranging from G$260,000 to G$650,000.
The IMF explained that this transfer and the corresponding payments accounted for the sharp increase in both NIS revenue and expenditure in 2025. Expenditure was projected to return to its underlying trend in 2026.
Looking ahead, the Fund expects contribution revenue to benefit from further growth in the working-age population, with additional gains possible if a greater share of persons becomes employed.
Its projections assume benefits increase with inflation, alongside some additional growth associated with medical charges.
The NIS provides benefits for sickness, maternity, employment injury, invalidity, old age and death. Employed workers and their employers contribute a combined 14 per cent of insurable wages, subject to a monthly earnings ceiling of G$280,000, while self-employed contributors pay 12.5 per cent of declared income.
A monthly old-age pension generally requires contributors to reach age 60 and accumulate at least 750 weekly contributions, equivalent to approximately 15 years.
The IMF’s assessment points to an improved financial outlook for the Scheme, supported by growing contributions, employment prospects and changes to its operations.
