Amended Land Acquisition Bill ensures fairness, efficiency – PM Phillips

– Bill will ensure easier access to loans for small-, medium-scale enterprises

The Acquisition of Land for Public Purposes Bill introduces groundbreaking reforms to ensure fairness, transparency, and efficiency in acquiring land for public projects. Central to these changes is the introduction of advance compensation payments of up to 80 per cent for legitimate landowners, providing immediate financial relief while safeguarding public finances.

The Bill, passed on Wednesday evening during a sitting of the National Assembly, has been hailed by Prime Minister Brigadier (R’td) Mark Phillips as a push for national development. The Prime Minister emphasised that the legislation respects legitimate property rights and upholds global best practices. The inclusion of Section 24A establishes a framework for advance payments, addressing longstanding concerns about delays in compensation.
“The 80 per cent cap, as opposed to 100 per cent upfront payment, is a prudent safeguard. It protects public finances while ensuring landowners receive significant relief upfront,” Phillips explained.
He noted that final compensation would reflect accurate valuation, with adjustments made following thorough assessments. Advance payments would be issued only upon proof of ownership — a measure designed to prevent fraudulent claims and ensure rightful owners are compensated. Additionally, the Bill includes protections for mortgaged properties, ensuring creditors’ interests are preserved.
“This Bill aligns Guyana with global best practices, and demonstrates that our Government – and by extension Guyana – is committed to justice, efficiency, and the rule of law,” Prime Minister Phillips emphasised.
The Bill also introduces amendments to Chapter 62:05, with two primary objectives being to ensure prompt and adequate compensation for acquired lands, and to enable the state to take possession swiftly. Inclusion of the words “prompt” and “adequate” ensures fairness while preventing delays in public projects that are vital to economic and social progress.
“These changes are essential to accelerate the delivery of public services and infrastructure, respecting both the rights of citizens and the need for national development,” the PM added.
Moreover, addressing concerns surrounding land acquisition in areas such as Caneview and Mocha, the Prime Minister dismissed allegations of unfair treatment while highlighting cases where residents, despite lacking legal titles, were offered compensation and support to relocate.
“A caring government worked with these individuals for over a year…,” he said. “Visit the 20 Guyanese now living on titled lands in homes built from the compensation they received from the Government,” he stated while criticising the Opposition for spreading misinformation.
In supporting the Bill, Labour Minister Joseph Hamilton highlighted the Bill’s historical context.
He said that despite legislation having been in existence since 1914, the Opposition portrays it as something new, and is misleading the public.
Further, he said, the new Security Interests in Moveable Property Bill 2024 would allow small and medium-scale enterprises (SMEs) to easily access loans.
This is a critical piece of legislation that represents the Government’s commitment to transforming the nation’s economic landscape by fostering financial inclusion and empowering SMEs, he concluded.
During her presentation, Tourism, Industry and Commerce Minister Oneidge Walrond said the Bill would resolve the hesitancy of small business owners being able to access loans due to the insufficiency of immovable properties.
“The Bill simplifies the process of using moveable assets as collateral for secured credit, making it more accessible to a wider range of businesses… These include tangible assets like equipment, inventory, crops, livestock and vehicles; as well as intangible assets like receivables, intellectual properties, and negotiable instruments,” she explained.
This new legislation creates more opportunities for financing, and ensures consistency, transparency, and legal certainty in credit markets by streamlining a secure transaction system, she said. It consolidates previous mechanisms for securing credit, such as bills of sale, finance leases, and pledges of goods, as all these mechanisms are contained in a single legal device called “security agreements.”
A security agreement is a consensual agreement that secures payment or performance of obligations. It eliminates redundancies, reduces administrative burdens, and ensures a coherent legal framework for secure transactions in the country.
It must be noted that if an asset is jointly owned, both owners must sign this agreement. The registration of the moveable property is managed through an electronic track register maintained by the registrar. According to this minister, the Security Interest in Moveable Property Bill 2024 would bring a safe change in the commercial industry.
“It will remove key constraints that have confronted thousands of Guyanese citizens and small businesses. It opens up avenues of credit previously unavailable to them,” Minister Walrond noted.
Finance and Public Service Minister Dr Ashni Singh also contributed to the bill. Dr Singh noted that the bill would add to the series of legislation already put forward by the Government to support SMEs.
“This Security Interest in Moveable Property (Bill) 2024 is a most commendable and most welcome addition to our legal architecture and financial system, and I commend my colleague for bringing it to Parliament on behalf of our Government,” the senior minister noted.
According to him, Guyana’s bank deposits grew exponentially over the years because of the many financial initiatives that Government has implemented. He pointed out that between June 2022 and June 2024, commercial bank deposits grew by a staggering 7.9 per cent.
This Bill has also received unanimous support of APNU+AFC Opposition Member of Parliament Khemraj Ramjattan. He has commended Government for the “well put together” bill, which he believes would assist upcoming entrepreneurs.