Cost of living would have been worse without Govt’s intervention – GAWU

…hails steps Govt took in 2022 to mitigate inflation

Much has been said about the rise in cost of living in Guyana last year and what the Government should have done. According to the Guyana Agricultural and General Workers Union (GAWU), however, the steps the Government did take went a far way in preventing a cost-of-living crisis.
In its end-of-year message, GAWU noted that the cost of living consumed the attention of many workers. It acknowledged the Government’s efforts last year to bring down the cost of living. These efforts have included slashing the price of fuel and spending over $1 billion to purchase fertilisers which it then distributed to farmers.
“We recognise the efforts of the Government to mitigate the price rises through several initiatives. Indeed, these are welcomed and we believe without the proactive approach of the Administration, the bad situation could have indeed been worse,” GAWU said.
“While pleased by such developments, we recognise too that it appears savings realised through Government initiatives were not being passed on to the consumer. It is unfortunate that there may be some who rather than seeking to share the relief offered by public policies were seeking to profiteer.”
According to GAWU, such behaviour is yet another form of exploitation perpetuated against the people, especially the workers it represents. Condemning such behaviour, GAWU expressed the belief that a re-evaluation of policies may be necessary in order to provide greater support to the people directly. This is necessary support, since the Consumer Price Index (CPI) for food is reported to have nearly doubled.
“The Bureau of Statistics recorded that the Consumer Price Index increased by 6.5 per cent for the year up to October 2022. Notably, the Food CPI was nearly double at 12.3 per cent over the same period. Some may express doubt over the figures given the situation in the markets, supermarkets, and shops.
“It is acknowledged, however, that prices grew greater than the usual during (2022). We are mindful that to a large extent, the price increases have their origins in occurrences taking place far beyond our borders and of which we are an unwitting victim,” GAWU explained.

Back in May 2022, President Dr Irfaan Ali had announced a series of ground-breaking measures, ranging from cash grants to households in hinterland and riverine communities to the provision of free fertiliser for farmers, which are aimed at improving the lives of citizens.
The first initiative he had announced was the distribution of a one-off $25,000 cash grant to every household in the riverine and hinterland communities of the country. This measure would result in $800 million being pumped into the economy and would cushion the impacts of the rising cost of living, Ali said.
He had also announced fertiliser support to farmers in order to cushion the impact of the rising cost of fertiliser on farmers and to limit the trickle-down effect on food prices, by the Government purchasing $1 billion in fertilisers for free distribution to farmers.
The third measure announced by the Government was the setting-up of a special unit to help landowners of both private and Government-owned lots build their houses.
President Ali had said the unit would support applicants with the process of applying to banks for financing and with the initial phase of construction by releasing the necessary resources. Persons would also have the option of choosing house models valued at $7 million, $9 million, or $12 million, for the Government to help them build.
Since taking office in 2020, the Ali-led Administration has introduced several measures to put more disposable income in the pockets of Guyanese. From the onset, VAT was removed from water and electricity.
There has also been an increase in old-age pension and public assistance, putting $2.3 billion and $432 million, respectively, into the pockets of Guyanese. (G3)