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Who Controls Guyana? US Investment Push Raises Sovereignty Questions

Oil, Data Centres and Defence Pact Raise Sovereignty Concerns

Admin by Admin
October 24, 2026
in Global, News
President Dr Mohamed Irfaan Ali held talks with United States (US) Secretary of Commerce, Howard Lutnick

President Dr Mohamed Irfaan Ali held talks with United States (US) Secretary of Commerce, Howard Lutnick

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President Irfaan Ali’s push to expand United States investment in Guyana, alongside a newly signed defence partnership with Washington, is raising questions about national sovereignty, foreign influence and the protection of the country’s long-term interests.

On October 21, Ali met US Commerce Secretary Howard Lutnick in Washington, D.C., to discuss investment in oil and gas exploration, infrastructure, agriculture, housing and technology, including support for developing Guyana into a regional data-centre hub.

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That same day, Ali and US Secretary of War Pete Hegseth signed a Joint Declaration for an Enhanced Defence Partnership at the Pentagon. The declaration provides for defence expertise, multidomain training, joint exercises with the Guyana Defence Force and improved air-domain awareness.

The US Department of War’s meeting readout also describes plans to improve coordination between the two countries’ armed forces.

The expanding relationship across security, energy and technology raises a fundamental question: how will Guyana ensure that deeper cooperation strengthens its sovereignty rather than creating excessive dependence on a powerful foreign partner?

Investment without disclosed terms

Ali said Lutnick reaffirmed Washington’s “strong interest in continued investment in Guyana” and discussed opportunities to position the country as a gateway for trade with South America.

However, the government’s announcement identified no new investors, financial commitments, ownership arrangements or implementation schedules. No new investment agreement was announced.

Without those details, the public cannot assess what Guyana may be expected to offer in return, including possible tax concessions, access to land or control over strategic infrastructure.

Guyana’s petroleum experience illustrates why scrutiny is necessary. The 2016 Stabroek Block production-sharing agreement, involving the ExxonMobil-led consortium, provides for a two per cent royalty and allows eligible costs to be recovered from up to 75 per cent of production revenue before remaining profit oil is split equally between Guyana and the contractors. The terms have attracted criticism, including from the renowned Institute for Energy Economics and Financial Analysis.

The question is not whether US companies should invest, but whether agreements will deliver fair public returns and protect Guyana from surrendering too much economic leverage.

Data centres and digital control

The proposed data-centre hub presents another set of questions about ownership, energy consumption, environmental costs and data security.

Guyana already has a proposed 100-megawatt artificial-intelligence data-centre project involving US company Cerebras Systems. The company describes the initiative on its Guyana project page, while Stabroek News reported on the government’s partnership with Cerebras in November 2025.

The government has not explained the project’s financing, revenue-sharing arrangements, public incentives and expected employment benefits. It must also clarify how large computing facilities will affect electricity demand, water use and national infrastructure.

Crucially, who will control the technology and data? What protections will govern sensitive information, cybersecurity and cross-border transfers? A facility located in Guyana does not automatically mean Guyanese companies own the technology or retain most of the profits.

Will US investors receive preferential treatment?

Tax exemptions, customs concessions, access to energy and other incentives can determine whether a foreign investment delivers substantial public value or primarily benefits the investor.

The government should disclose the cost of any concessions and explain whether American companies will receive privileges unavailable to Guyanese businesses. Local firms must have meaningful opportunities to participate, rather than being relegated to subcontracting while ownership, intellectual property and profits remain abroad.

Washington is entitled to pursue its commercial interests. Guyana’s responsibility is to ensure those interests do not override its own.

Defence cooperation and sovereignty

The defence declaration comes as Guyana continues to address security concerns, including its longstanding territorial dispute with Venezuela over Essequibo. US training and improved surveillance capabilities could strengthen the Guyana Defence Force.

Forward Guyana Movement (FGM) leader and lone parliamentarian Amanza Walton was the only politician to address the new US-Guyana defence pact critically, raising questions about national sovereignty, transparency and parliamentary oversight.

In a statement reported by Village Voice News on October 23, Walton acknowledged the strategic rationale for closer defence cooperation but argued that the government had not provided sufficient information about the commitments made on behalf of Guyanese citizens.

She called for a substantive briefing to Parliament, proposing scrutiny by the Parliamentary Sectoral Committee on Foreign Relations. While recognising that sensitive matters could be discussed confidentially, she cautioned against using national security as a reason to avoid public accountability.

“As Guyanese we are equally entitled to a meaningful explanation of what has been signed in our name, the commitments undertaken on our behalf and the implications for our country.”

Walton’s intervention exposed a glaring gap in the debate over the defence pact: the government’s failure to adequately explain the commitments it has made in Guyana’s name and the implications for national sovereignty. While other political figures have remained largely silent, she has demanded accountability, transparency and parliamentary scrutiny of an agreement with potentially far-reaching consequences for the country.

The government has yet to explain the pact’s practical scope or disclose whether supplementary arrangements govern access to facilities, intelligence-sharing, equipment procurement or operational coordination. While the published declaration does not establish that the United States has been granted ownership of Guyanese assets or authority over Guyana’s defence decisions, that alone does not answer the critical questions surrounding the agreement’s implementation and obligations.

National security cannot become a convenient shield against public scrutiny. Guyanese citizens are entitled to know what commitments have been undertaken on their behalf, what safeguards are in place and how the government intends to preserve the country’s independent decision-making.

Ali has promoted expanded US investment as a pathway to economic diversification and “sustainable prosperity.” But diplomatic declarations and promises of investment are no substitute for transparent agreements that demonstrate tangible benefits for Guyanese people.

Guyana must not be asked to accept assurances in place of answers. Whether the issue is oil, data centres or military cooperation, the government must account for what it is offering, what the country stands to gain and how it will protect national resources, strategic infrastructure and sovereignty.

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