By Mark DaCosta- A significant legal challenge has been mounted against the People’s Progressive Party (PPP) Government of Guyana over the transparency and management of the Natural Resource Fund (NRF). Dr. Terrence Campbell, a member of the NRF Investment Committee, on Thursday, February 20, 2025 filed a judicial review application seeking greater accountability in how the country’s oil revenues are spent. The case, which names Attorney General Anil Nandlall S.C and the Senior Minister in the Office of the President with Responsibility for Finance Dr. Ashni Singh as respondents, questions the massive withdrawals from the fund and their compliance with Guyanese law and international financial standards.
Terrence Campbell, a prominent businessman, was appointed to the NRF Investment Committee on 8 July 2024. He has since voiced serious concerns regarding the government’s use of the fund, particularly the lack of clear justification for major withdrawals and the apparent absence of comprehensive documentation outlining how these funds are allocated.
Campbell’s legal team, led by Senior Counsels Roysdale A. Forde and Seenath Jairam, argues that the government has used the fund as a financial cushion for regular government expenditures rather than for the strategic national development projects outlined in the Natural Resource Fund Act of 2021.
His application highlights that over the past three years, approximately US$2.61 billion (more than half a trillion Guyana Dollars) has been withdrawn from the NRF.
Government records indicate that in 2022, the administration withdrew US$607.65 million from the fund. This was followed by a massive US$1,002.13 million in 2023. In 2024, withdrawals reached US$850 million from January to September, with an additional US$153.456 million taken in the final quarter of the year. These figures have raised alarms about whether the fund is being used in a manner consistent with its intended purpose.
According to an analyst, the case also underscores potential violations of the Santiago Principles — an internationally recognised framework for the governance of sovereign wealth funds. These principles, which are incorporated into Guyanese law through Section 4 of the NRF Act, mandate strict transparency, accountability, and responsible investment strategies.
According an interpretation of Campbell’s application, the government’s handling of the fund breaches several key Santiago Principles, including Principle 2 (which requires clear objectives for sovereign wealth funds),
Principle 4 (which demands robust governance structures), Principle 6 (which mandates public disclosure of activities), Principle 17 (which requires sound financial risk management), and Principle 24 (which calls for independent external audits).
Beyond these international principles, Campbell’s legal action provides evidence that the NRF is being used to cover budget deficits rather than fund national development priorities. Government documents show a current expenditure deficit of G$46,016 million for 2024 and G$75,929 million for 2025, which, according to Campbell, confirms the fund is being misused to finance routine government operations instead of the purposes explicitly mandated by law.
In his legal filing, Campbell demands that the Minister of Finance disclose a detailed breakdown of all prior NRF expenditures within 30 days and establish transparent procedures for future withdrawals. His application argues that there are no clear criteria defining what constitutes a “national development priority” and no structured mechanisms for tracking NRF-financed projects.
Supporting his claims, Campbell highlights that the 2025 Public Sector Investment Programme — an official government document detailing planned national projects — fails to explicitly identify any projects funded by NRF withdrawals. This raises further concerns about the lack of oversight and clarity regarding the allocation of these resources.
The NRF was established to manage revenues from Guyana’s burgeoning oil sector responsibly. Initially introduced through the Natural Resource Fund Act of 2019, the legislation was revised in 2021 to refine governance mechanisms and enhance transparency. The fund’s primary objectives include stabilising the economy, reducing reliance on finite oil resources, and ensuring that petroleum revenues benefit both present and future generations.
The NRF is ostensibly overseen by an Investment Committee, composed of financial and economic experts, which ought to advise on investment strategies and ensure compliance with best practices. The Bank of Guyana manages the fund’s operations, while the Public Accountability and Oversight Committee — comprised of members of the National Assembly — ought to provide parliamentary scrutiny to uphold transparency. However, the parliamentary committee is currently not able to function due to the PPP members of the committee absenting themselves from meetings, causing the committee to fail to meet quorum.
Despite these governance structures, though, concerns have persisted regarding the actual implementation of transparency measures, particularly as it relates to withdrawals. Campbell’s legal challenge seeks to compel the government to uphold the NRF Act’s stipulations and ensure that oil wealth is managed in a manner that truly benefits the nation.
The outcome of Campbell’s case could have far-reaching implications for Guyana’s economic governance, an analyst said. If the court rules in his favour, it may set a precedent for greater financial scrutiny and force the PPP government to adopt stricter transparency measures in handling the NRF. This could also bolster confidence in the management of Guyana’s oil revenues, both domestically and internationally.
As the legal battle unfolds, the case raises fundamental questions about the role of sovereign wealth funds in national development and the need for strong institutional oversight to prevent financial mismanagement. The people of Guyana, who ultimately own the nation’s oil wealth, will be watching closely to see whether this legal challenge brings about much-needed accountability in the management of the country’s most significant financial asset.
