PSC: Unemployment is largely voluntary

The Private Sector Commission (PSC) has maintained that unemployment in Guyana is largely voluntary, given the abundance of economic activities that create opportunities and jobs for everyone.

The PSC shared this view during a recent meeting with Lusine Lusinyan, Deputy Division Chief of the Western Hemisphere Department of the International Monetary Fund (IMF), and her team.

Their discussion focused on “Investment Climate and Strategies for Private Sector-Led Growth.”

In a statement, the PSC highlighted that labour costs in the private sector have increased by more than 60 per cent over the past four years, reflecting the country’s rapid economic expansion and the rising demand for skilled workers.

PSC Chairman Komal Singh emphasised that every economic sector in Guyana is experiencing growth, which is driving an increasing demand for skilled labour.

He pointed to existing mechanisms that support jobseekers, such as the Ministry of Labour’s Job Bank and the Diaspora Unit at the Ministry of Foreign Affairs.

The meeting provided a platform for the PSC to share insights on critical areas, including the labour force, access to financing for SMEs, foreign exchange, data collection and reporting, and Guyana’s legal investment framework.

Singh also underscored the government’s efforts to improve the governance environment through legislative advancements, such as arbitration laws, and to streamline business operations via single-window platforms for trade and construction.

PSC members also stressed the need for regulatory reforms in the banking sector to better support the expansion and financial resilience of SMEs.

While acknowledging that banks have introduced measures to improve the ease of doing business—including invoice financing and the recognition of movable property as assets—they noted that further enhancements are still needed.

At the same time, the PSC emphasised that private sector entities must strengthen their internal governance and financial systems to improve access to financing and ensure long-term sustainability.

The delegation also engaged in discussions on the current economic climate and highlighted the importance of accurate data representation and methodology in international reports.

Additionally, the PSC raised concerns about the methodologies used by international agencies in compiling economic reports, questioning the accuracy and relevance of benchmarking criteria.

The Commission reiterated that economic data must accurately reflect Guyana’s true economic reality.