IDB approves US$350M loan to boost Guyana’s social services, fight human trafficking

Cognisant of the efforts Guyana has been making on its own, the Inter-American Development Bank (IDB) has approved a US$350 million loan that will go towards helping Guyana upgrade its social services and aid vulnerable populations, as well as initiatives like implementing a national action plan against human trafficking.
The financial institution on Wednesday announced that this US$350 million loan would be the second and final in a series of policy-based loans – the first of which was co-financed with Global Affairs Canada. According to the IDB, the loan will help Guyana’s ongoing efforts to modernise and expand its social services.
“The loan will support the Ministry of Human Services and Social Security (MHSSS) in enhancing the efficiency and reach of its social safety net, with a focus on digital transformation, inclusion, and empowerment of vulnerable groups,” the IDB said.
“Key components of the programme include: Streamlining and digitalising MHSSS processes to reduce transaction costs and improve service delivery for beneficiaries. (Supporting) over 82,000 senior citizens expanded access to electronic payment systems. Increasing the coverage of the Public Assistance programme, which has already supported more than 6000 individuals with disabilities.”
Monies will also be allocated towards scaling up training programmes and growing the learning lab initiative, so that more persons with disabilities can be equipped with the necessary skills to gain employment, as well as adaptive living techniques, and tools for improved quality of life.
Other initiatives the loan will cover include women’s empowerment, as it will go towards expanding the Women’s Innovation and Investment Network (WIIN) Business Clinic to provide women with training in business management, legal literacy, and access to funding.
From the inception of this programme in 2021, the number of courses offered has increased every year. In the initial year, 2170 persons were trained, with Regions Four (588), Two (409), Five (345), Three (320) and Six (307) seeing the highest turnouts.
In 2022, the programme saw a 62 per cent increase in participants, with over 10,000 persons applying. Region Four had the highest number of persons trained at 937, while Regions Three and Five each had over 500 persons trained. In the hinterland, over 350 persons were trained.
The programme is the brainchild of Human Services and Social Security Minister, Dr Vindhya Persaud and was designed to equip women with the skills and confidence to pursue economic opportunities and achieve financial independence.
WIIN offers a multitude of training courses such as garment construction and Information and Communications Technology (ICT) among others. The programme has since evolved to include men as well.

Domestic violence & TIP
Vulnerable populations at greatest risk of inter-personal violence, such as survivors of Gender-Based Violence and victims of human trafficking, will not be left out, as part of the funding will go towards the Survivors Advocates programme and the Counter Trafficking in Persons Unit to provide comprehensive support to survivors.
Additionally, a National Action Plan Against Human Trafficking, which will support the development of a coordinated strategy to combat human trafficking that includes all relevant stakeholders, will also benefit from the funding.
“These initiatives, launched in 2023, reflect a holistic approach to social protection, targeting the most disadvantaged and underserved populations in Guyana. The IDB loan features a 20-year amortisation period, a 5.5-year grace period, a one-year disbursement window, and a SOFR (Secured Overnight Financing Rate)-based interest rate.”
“This operation showcases the IDB’s commitment to supporting Guyana’s social development agenda that provides opportunities for all and building a more resilient society,” the IDB further explained.
It had been revealed last year through a TIP report prepared by the United States Department of State, that the Government of Guyana has increased its prosecution efforts against Trafficking In Persons (TIP).
According to the report, the Government identified 407 victims while Non-Governmental Organisations (NGOs) identified one. This is in comparison to 2022, whereby the Government had identified 327 trafficking victims.
During 2023, the report pointed out that 77 TIP cases were filed under the Combating Trafficking of Persons Act of 2023, resulting in 10 suspects being arrested, seven of whom were charged. This reflected an increase from 2022 when there were 28 cases.