Reclaiming Category One aviation rating seen as crucial to Guyana’s competitiveness

Reclaiming the category one aviation rating and zipping up the World Bank `doing business’ survey has been tagged by a state-appointed committee as critical to boosting the country’s competitiveness.

The seventh meeting of the National Competitiveness Strategy (NCS) Steering Committee identified air transportation and an action plan to boost Guyana’s ranking on the World Banks’ ‘doing business’ index as among the critical issues that would impact Guyana’s competitiveness and the implementation of the NCS.

Kit Nascimento
Kit Nascimento

At a meeting held on May 17 and chaired by Tourism Minister Irfaan Ali, the committee concluded that in order to improve competitiveness, full support will be given to projects outlined to improve hinterland airstrips and the Cheddi Jagan International Airport (CJIA), Timehri.

According to a GINA press release, Christopher ‘Kit’ Nascimento, speaking on behalf of the tourism sector, reiterated the importance of air transportation and the benefits of expansion and other improvements at the CJIA over the past decade. He also pointed out that aviation safety has become a critical issue, particularly how it is managed, equipped and regulated through the Guyana Civil Aviation Authority (GCAA).

“That needs to be done if we are to move Guyana back upwards to category one status,” Nascimento said, adding that it has become critical in terms of Guyana being serviced by brand name airlines.

He also pointed out that the expansion of the CJIA is essential to Guyana being able to provide the facilities that those international brand name airlines require, which is why the expansion is critical.

“We look to the Opposition understanding that and being supportive of it,” he said, further explaining that the expansion and rehabilitation of hinterland airstrips were must also be addressed.

“We expand our airstrips, we improve their capacity both in terms of safety and technical navigational requirements, and we can immediately expand our domestic air services. We can use bigger aircraft, reducing costs and services,” Nascimento said.

Under Category One of the US Federal Aviation Administration’s (FAA) ranking, a country’s civil aviation authority has been assessed by FAA inspectors and been found to license and oversee air carriers in accordance with ICAO aviation safety standards.

Small Business
Bureau

Meanwhile, Ali said the a Small Business Bureau report indicated that in addition to disbursing loans and grants, it would also focus on a strategic vision to position small businesses based on their sectoral importance and the national investment climate.

This would ensure that small businesses “combine their efforts into sectors that are viable, and add to national wealth, whilst creating the opportunity to compete both in regional and international markets,” he said.

With regard to trade, a number of issues were examined to ensure better transactions and exchanges aimed at boosting Guyana’s ranking on the ‘doing business indicator.’ Guyana ranked 114 in 2013, out of 183 countries ranked in the World Bank Doing Business report and the NSC hoped that the country can move up to 89 by 2015. As such, a concept paper and action plan has been prepared towards this end.

Currently, the committee is working on improving the Deeds Registry and creating new legislation, which has been instrumental in Guyana’s current ranking.

The meeting also made recommendations about the new customs warehouse being planned by the Guyana Revenue Authority and addressed other areas focused on consumer, competition, consultancy regarding improving trade between neighbouring Suriname and Brazil and the identification of trade advantages and ways to secure and maintain those advantages. Discussions were also held on the implications of the impending new United States regulations on agro-processed products and its implications for Guyana’s exports and ensuring that the country prepared to deal with it.

Private Sector

Chairman of the Private Sector Commission, Ronald Webster, said that more preparatory work must be done before the National Competitive Forum in July. He noted that of 141 items which are being used to push national competitiveness, at least 89 are either fully or almost complete, “which is a great move forward.”

According to a press release, Webster noted that it was necessary to ensure that the Small Business Bureau works effectively and lauded government for the expectations associated with the Small Business Development Fund as outlined in a presentation by the Small Business Bureau on the Micro and Small Enterprise Development (MSED) and the Building Alternative Livelihoods for Vulnerable Groups Project.

Meanwhile, Ramesh Dookhoo, Chairman of the Trade, Intelligence and Investment Committee of the PSC said that the NCS is responsible for some of the changes seen in and around the country, inclusive of the revised taxation system.

While he lauded Ali for the work he has put in to propel the eight-year-old NDS forward, he called for more participation from other national stakeholders and for support from the political opposition.

“We believe that participation by all can create a lot of buying,” Dookhoo said, adding that the PSC is dissatisfied with how Parliament is functioning and requested a more collaborative rather than confrontational approach among political parties.

In his address, Clinton Williams, President of the Guyana Manufacturers and Services Association (GMSA) said recommendations have been made to dredge and maintain the Georgetown Harbour.

A strategy was also reviewed to ensure that trade transactions are dealt with efficiently and substantially to improve business and discussions were held regarding lumber exports and the GRA and results have been noted.

Williams also said initiatives are being set up to capitalise on two upcoming international events to be held in Brazil: World Cup football and the Olympics.

However, he noted that the GMSA will depend on infrastructure in Guyana that will support them, including the maritime transportation, but more specifically, air transportation.

“So it is essential that those impediments that resulted in the cuts from the budget be handled in a way that allow for these projects to be brought back on stream as soon as possible so we can benefit from these initiatives,” he said.