In the early hours of Saturday morning, Guyana’s National Assembly approved a record-breaking $1.558 trillion national budget for 2026, marking a 12.7 per cent increase over the previous year’s allocation. The budget was endorsed during the third sitting of the 13th Parliament, following extensive examination in the Committee of Supply and vigorous exchanges between government and opposition members.
The financial blueprint, presented under the banner “Putting People First,” is fully funded and imposes no additional taxes. Senior Minister in the Office of the President with responsibility for Finance, Dr Ashni Singh, expressed confidence that the country’s rapid economic expansion will continue. He emphasised that the 2026 programme prioritises strategic investments to secure long-term competitiveness and sustainability.
A significant share of the allocation is directed towards transformative infrastructure, including improvements to transport networks and energy systems. These projects are expected to enhance productivity and lay the foundation for sustained economic performance. The administration also signalled its intention to elevate public services to international standards, particularly in healthcare and education, while advancing technology-driven solutions to modernise national systems.
The budget introduces Special Development Zones that will offer targeted fiscal incentives to attract investors to selected regions. These initiatives are expected to work in tandem with projected reductions in electricity costs once the flagship Gas-to-Energy project becomes operational, significantly improving the operating environment for manufacturers.
Agriculture and agro-processing enterprises will benefit from the elimination of corporate income tax, a measure designed to encourage reinvestment and expansion. Export incentives will also be broadened to include value-added forestry products, and value-added tax will be removed from locally produced furniture and jewellery to stimulate domestic industries.
Addressing rising living costs remains a key focus. The government will continue its zero per cent excise duty on fuel, a policy first introduced in 2022 to cushion households against volatile global oil prices. Relief on freight charges used in calculating import duties will also remain in place. Additionally, $9 billion has been earmarked for further measures to ease financial pressures on citizens.
Support for families and vulnerable groups is set to expand. The Because We Care grant will increase to $60,000 per child, complemented by a new $20,000 annual transport allowance and a $5,000 uniform voucher. Together, these benefits will provide $85,000 per student and are projected to transfer approximately $12.4 billion to households nationwide. Examination fees for CSEC and CAPE students will continue to be covered, benefiting an estimated 14,000 candidates.
Senior citizens will see their monthly pension rise to $46,000 and receive a $20,000 annual transport grant, totalling nearly $1.9 billion in additional support.
To boost disposable income, the government announced higher stipends for community workers, the reinstatement of the $100,000 cash grant for adults aged 18 and over, the abolition of net property tax for individuals, and an increase in the income tax threshold to $140,000 per month.
Opposition representatives offered mixed reactions. While some maintained that the measures fell short of expectations, they acknowledged incremental progress, particularly the revised income tax threshold, which is expected to leave more earnings in workers’ hands.
With its focus on infrastructure expansion, industrial competitiveness, and direct financial support for citizens, Budget 2026 positions itself as both a growth-oriented and socially responsive fiscal plan, aimed at shaping a more modern and resilient Guyana.