Better infrastructure, better livelihoods – Oxford professor stresses key role in economic growth

With the Government currently undertaking several massive infrastructural development projects, Professor of Economics and Public Policy at the Blavatnik School of Government, University of Oxford, Paul Collier has said that government’s push to leverage its oil wealth for critical infrastructure is a “sensible approach,” noting that oil does not last forever.
The world-renowned economist was at the time speaking during a recent episode of the Energy Perspectives podcast. He noted that Guyanese authorities are making the right decision by investing in durable assets on the ground.
“Is that a sensible approach? It is, because infrastructure, first of all the oil won’t last forever and so it’s important that when you take the oil out from under the ground, you put some durable assets on top of the ground and that’s what infrastructure is,” Professor Collier posited.

Alliance For Change (AFC) leader Nigel Hughes last month had criticized the government’s 2025 Budget describing it as prioritizing infrastructure over the basic needs of the population.
Senior Minister in the Office of the President with Responsibility for Finance and the Public Service, Dr Ashni Singh presented a $1.382 trillion budget for 2025, a 20.6% increase compared to Budget 2024.
Hughes claimed that the government’s focus on capital works, such as roads and bridges, fails to address the fundamental challenges faced by ordinary citizens he had said “We can’t eat the roads and the bridges.”
However, Professor Collier shared a different view on the situation. In fact, the world-renowned economist was heavily against the idea of direct cash transfers he said, “We cannot eat a bridge we cannot eat a road. Why not give us some of that money in direct cash transfers? No, I think that’s a mistake.”

New economic opportunities
On this point Professor Collier highlighted that by developing the country’s infrastructure Guyanese citizens will be presented with a plethora of new economic opportunities.

“The answer is, you can eat thanks to the highway you can eat thanks to the road, because the highways and the roads will enable a lot more economic activity and so it will open up an ability to earn your living. It’s better to be able to earn a decent living and there’s so many more business opportunities opened by decent roads and decent infrastructure, decent electricity and that sort of thing.”
Meanwhile, the Government of Guyana has allocated a substantial $209.1 billion in the 2025 budget for the construction and rehabilitation of roads and bridges across the country.
This funding will support several major infrastructure projects, including the long-awaited Corentyne River bridge linking Guyana and Suriname. $5 billion has been earmarked to begin construction on the new bridge once discussions with Surinamese counterparts are concluded. Another $15.5 billion has been allocated for the Palmyra to Moleson Creek road project.
Additionally, $5 billion has been set aside for the commencement of the new Berbice River Bridge, a key infrastructure development for the region. Other critical projects include $17.5 billion for the Railway Embankment Road expansion from Sherriff Street to Orange Nassau, and a continuation towards the Mahaica River Bridge. Furthermore, $3.9 billion is designated for the completion of the Good Success to Timehri road on the East Bank of Demerara.
These significant investments in infrastructure are expected to boost connectivity and support the country’s ongoing development efforts.