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Home Letters

Black Gold, Empty Pockets: The Paradox of Poverty in the World’s Newest Oil

Admin by Admin
December 1, 2025
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Dear Editor , 

The news is extraordinary. According to the latest figures, our small nation, Guyana, has secured the top spot in the world for oil production per capita. We have leapfrogged seasoned giants like Kuwait, Qatar, and Saudi Arabia—nations that have been extracting crude for generations. Our output of 900,000 barrels per day, drawn from the prolific Stabroek Block, combined with our small population, has made us an international energy powerhouse in a mere five years. With US$60 billion invested and production forecasts reaching \bm{1.7} million barrels per day by 2030, Guyana is, on paper, unimaginably rich.

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But step away from the dazzling headlines and the staggering figures. Look around.

The reality on the ground tells a very different, and deeply disturbing, story. This global triumph is set against a pervasive backdrop of local tragedy. Despite leading the world in per capita oil wealth, we are witnessing an alarming spread of destitution and desperation. The great promised flow of wealth has, as the saying goes, failed to “trickle down.” For too many Guyanese families, the black gold beneath our waters has yielded only empty pockets.

This is the ultimate paradox. This is the ultimate absurdity. The figures confirm that oil production does not automatically equate to national progress or shared profit. It is a damning confirmation of the so-called “resource curse,” where the extraction of immense wealth coexists with, and sometimes even exacerbates, poverty and inequality.

The wealth currently gushing from our offshore fields is not the sole property of a select few, or of foreign consortia. It is our national patrimony. It belongs to every single Guyanese citizen—from the children inheriting this future to the elders who have sustained this nation through leaner times. Every Guyanese is entitled to a fair share of the benefit derived from this non-renewable resource.

This disconnect—between the nation’s unprecedented wealth and the citizen’s persistent need—is not sustainable, nor is it acceptable. It threatens to fracture our social fabric and corrode public trust in the very institutions tasked with safeguarding our future.

We must stir agitation and advocacy now. We must demand that our oil revenues be immediately ring-fenced and deployed for the direct benefit of the people. We demand the immediate implementation of the following policies to ensure the wealth reaches those who need it most:

  1. The Universal Health & Wellness Fund (UH&WF): Allocate a fixed percentage of annual royalty revenue to guarantee free, high-quality primary healthcare and fully rehabilitate and equip every regional hospital nationwide.
  2. The “Future Generations” Education Endowment: Dedicate a non-negotiable percentage of profit oil to fund universal, free tertiary educational scholarships  and provide digital tools to every student, preparing our youth for a diversified economy.
  3. The Citizens’ Dividend Trust (CDT): Establish a fund to provide a modest, but regular direct cash transfer to every registered Guyanese citizen, offering immediate economic relief and a tangible connection to our national wealth.

The time for production without progress is over. Our national wealth must be leveraged to build a nation where prosperity is the rule, not the exception. The time for action and a better share is now.

Sincerely, 

Hemdutt Kumar 

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