The Week-in-Review - September 26 to October 2

COVID-19

Food prices up by 14%: According to data from the Bureau of Statistics, there has been a 14% increase in food prices over the first seven months of 2021 while general living costs have increased by 5.4% over that same period. The monthly Consumer Price Index (CPI) stated that the cost of living in Guyana has seen a steady increase over the last few months with food prices most significantly affected. Stabroek News has previously reported that at least some of the cost increases in food and other items are related to the COVID-19 pandemic, which has caused a disruption to the shipping routes and food production across the world. In May it was explained that according to the Food and Agricultural Organization’s (FAO) world food index, global prices have increased for an 11th consecutive month in April, hitting their highest level since May 2014. The index, which measures monthly changes for a basket of cereals, oil-seeds, dairy products, meat and sugar, averaged 120.9 points in April versus a revised 118.9 in March. It was 30.8 % higher than its level in the same month last year. At the time the organization explained that worries about crop conditions in Argentina, Brazil, and the United States, pushed maize prices up 5.7% while wheat prices held largely steady. The vegetable oil price index rose 1.8% as international palm oil quotations rose on concerns that production growth in major exporting countries would be slower than expected. Soy and rapeseed oil values also climbed further, while sunflower oil prices contracted moderately. Dairy prices rose 1.2%, with butter, skim milk powder, and cheese all lifted by solid demand from Asia, while the meat index climbed 1.7%.

Former DPI head succumbs to COVID: Former Director of the Department of Public Information (DPI) and Head of Communications for the Opposition Imran Khan died last Tuesday in the COVID-19 Intensive Care Unit (ICU) at the Liliendaal Infectious Disease Hospital, almost a week after he was rushed there. Khan, who was well known in the local media landscape and has been prominent on the political front in the last few years as he was a senior member of the Alliance for Change, tested positive for the virus on September 15th. On September 24 from his hospital, bed he asked for prayers as he said he could not fight alone. “By the grace and strength of God I am still fighting this but it is getting lonely. I need more help and support. Please help me fight more. I can’t do this alone. Thank you,” he posted on Facebook. But the following day (September 25th) he was in a more upbeat mood as he posted that he was “in excellent spirits.” “Difficult to respond individually to everyone but in time I will. Please be assured that I am fighting and there is no giving up. One love!” was what he posted. Sources say that Khan had not taken a COVID-19 vaccine. Khan’s wife, attorney-at-law Tammy Khan, is also stricken with the virus and was in the COVID ICU as well but has since been released.

Oil

Bharrat says gov’t hoping to table local content law before year end: Following a call by the Georgetown Chamber of Commerce and Industry (GCCI) for the tabling of local content legislation by the end of this year as its members say they are being sidelined from oil and gas works, Minister of Natural Resources Vickram Bharrat on Friday assured that government is assiduously working towards that timeline. “We are hoping to table it before the end of the year. It is a work-in-progress,” Bharrat told Stabroek News when contacted. He said that works are ongoing to prepare a draft and government hopes that it would be completed so that the legislation could be tabled before the end of 2021. His pledge came after the GCCI issued a statement bemoaning the awards to foreign companies of infrastructural works that local companies are capable of doing, while urging that the legislation be passed by the end of the year. President of the GCCI Timothy Tucker told this newspaper that local content legislation is long overdue, as six years since the discovery of oil here local companies are yet to see tangible benefits and are being overlooked by foreign companies. “We issued that statement because of the series of complaints from GCCI members of being overlooked when they know they have the capabilities, and we believe that now is the time for the legislation to be tabled so we could move forward,” Tucker said. “We are six years into oil and gas and there are companies that have built businesses and their capacity and they are being overlooked,” he added. In addition, the private sector organisation said that it also notes that a large number of oil and gas support services businesses are operated here by foreignowned companies and that its members have complained of being bypassed.

Hydropower

Three Chinese companies submit proposals for Amaila hydro project: Four companies – three Chinese and one Brazilian – have responded to government’s Request For Proposals (RFPs) for the resuscitation of the Amaila Falls Hydropower Project (AFHP), which is expected to begin construction by the middle of next year. Government wants the project to be completed and commissioned by the end of 2025. The proposals were submitted to the National Procurement and Tender Administration Board. The three Chinese companies are China Rail-way Group Limited, Sinohydro Corporation Limited and China Gezhouba Group Company Limited. The Brazilian firm is Rialma S.A (Groupo Rialma), a company which operates in the energy, agricultural and mining sector and boasts of clean energy initiatives.

Elections

GECOM advertises for new CEO, other key senior office holders: The Guyana Elections Commission (GECOM) on Friday began advertising to fill several critical positions, including that of the Chief Election Officer (CEO). Apart from CEO, the commission is currently seeking to fill the positions of Deputy Chief Election Officer, Assistant Chief Election Officer, Chief Accountant, Legal Officer, Logistics Manager, and Civic and Voter Education Manager. The commission in a press release on September 30 informed that advertising of the positions will be for a two-week duration using a combination of media including, but not limited to newspapers, radio, television, GECOM’s website and GECOM’s Facebook page.

GECOM in the statement said “the hiring process would be transparent and the process could be completed effectively within the shortest time possible so that the work programme of the agency could proceed.” According to the ad, the position of CEO requires playing the key leadership role in the Secretariat of GECOM, with responsibility for implementing all aspects of its operations, and ensuring that results achieved are consistent with the laws of Guyana and the policies determined by the Commission.

Crime

Electrician, 19, shot dead in chain robbery: A 19year-old electrician died shortly after he was shot and robbed of a gold chain after leaving his Festival City, Georgetown home last Thursday. Dead is Joshua Denny, called ‘Lion’ of Lot 2109 Nutmeg Street, Festival City, North Ruimveldt. Denny was shot twice, including in his chest, during the robbery, which took place around 6.30 am on Mittelholzer Street, Festival City. He was rushed to the Georgetown Public Hospital (GPH), where he died during emergency surgery. Police have since identified two suspects believed to have been responsible for the murder and have also detained two persons for questioning. Denny was robbed of a gold chain he was wearing. It is worth $170,000. His cellular phone and wallet were found in his pants pocket. A resident of the area told the police that he was at home when he heard two loud explosions. Upon looking through his window, the man said he saw Denny standing on the road, shouting that he had been shot. The man further told the police that he saw a male running from the scene and jumping onto a waiting motorcycle.

Business

Bonfim protest ends as travel restriction to Lethem eased: Weeks of protesting by residents in the Brazilian town of Bonfim have ended as the Guyana Government has agreed to more movement of traders between the two countries but with COVID-19 rules in place. As of Friday, vaccinated persons were allowed to travel from Bonfim and other communities to Lethem. Brazilians who work and trade in Lethem first blocked the Bonfim highway several weeks ago preventing the delivery of essentials to the border town such as cooking gas in protest at their own lack of access to Guyana. Under the new order, which was petitioned for by Region Nine officials, persons will be allowed to travel across the Takutu River bridge on Thursdays and Fridays. The officials include Region Nine Chairman Bryan Allicock, Regional Executive Officer Karl Singh and Lethem Mayor John Macedo. On Thursdays, the border will be opened from 7 am to 5 pm for the transportation of large and small- scale goods, while on Fridays at specific times individuals will be allowed across the bridge. The opening hours will be from 8 am to 1pm and 6 pm, for a period of 15 minutes for residents of Bonfim and Guyana.

Brassington urges banks to up loans to private sector:

Economist Winston Brassington recently told the banking sector that consideration should be given to increasing loans to the private sector while simultaneously lowering interest rates. With an average of only 33% of assets from local commercial banks loaned out to the private sector over the past ten years, Brassington said that increases in loans by banks to that sector is necessary to avoid “leakage from the economy and a drag on investment and economic growth”. Last year, according to Bank of Guyana data, the loans-to-assets ratio percentage was even lower at some 27%. “Banking sector returns are lopsided at the expense of the private sector borrowers. Too much of the nation’s savings are not being injected back into economy and serving as a drag on growth. Growth of economy will reflect similar growth of banks deposits and assets and the private sector can benefit from lower interest rates that can approach North American Standards,” Brassington told a banking forum last week. “More lent at a lower rate can compensate for less lent at a higher rate, due to variances in interest rates,” he also posited. Speaking on the topic, ‘Interest rates, Liquidity and Our Banking Sector’, he added, “Bank profitability will not be harmed if they expanded lending to private sector while significantly lowering rates and expanding tenure.” “The availability of credit guarantees will alleviate many fears and help resolve such reservations as commercial banks may have when dealing with the small business community. The credit guarantee resolves the matter of collateral deficiencies as well as offsetting the risks of lending to small businesses and compensates for low profit margins,” he added.

In the courts

Judge hands down death sentences to daughter, ‘hitman’ over Ruby businessman’s murder:

Bibi Nazeela Habiboodean and the man she hired to kill her father were on Friday both sentenced to death by High Court Judge Sandil Kissoon, who described the savage beating the septuagenarian victim endured as reprehensible. 76-year-old Habiboodean (only name), formerly of Lot 111 Ruby, East Bank Essequibo (EBE), was badly beaten at his home on February 15, 2008. He would succumb to his injuries a day later at the Woodlands Hospital. Bibi Nazeela and her accomplice Linden Lewis,