IMF reveals the economy that will grow 86 per cent in 2020
The small South American country of Guyana is set for an economic surge
The International Monetary Fund (IMF) believes that Guyana, one of the smallest countries in South America, will see a tremendous economic surge in 2020. Its GDP growth could comprise 86 per cent.
According to the forecast published by the IMF, the country which shares borders with Brazil, Venezuela and Suriname is set to increase its GDP growth from 4.4 per cent to 86 per cent.
In this case Guyana will grow 14 times faster than China and 40 times that of what the US is expected. Thus the country of 780,000 will become the fastest growing economy in the world.
Moreover, by 2024 the country could expand to $15bn GDP from its actual $4bn.
Such an unusual surge owes to the oil production that the country is set to start next month. Vast deposits of the commodity were found by Exxon Mobil Corp, which has made 14 discoveries in the country since 2015. By early 2020 the company expects to produce 120,000 barrels of oil per day from these refineries.
According to CNBC, Guyana has the largest amount of offshore reserves per person – approximately 3,900 barrels. Meanwhile, Saudi Arabia has only 1,900.
However, British analytical company IHS Markit, cited by CNBC, believes that the optimistic forecast will inevitably face a correction, as Guyana is politically and socially unstable. It cut the prediction to 30 per cent GDP growth.