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Subject

Oil development in Guyana.

Significance

In 2017 ExxonMobil announced the development of a major offshore oil find in Guyana. The news has been welcomed in Guyana, but there are concerns about the potential impact that developing significant oil production will have on the country’s economy, society and environment.

Impacts

This development and future oil advances could attract foreign investment if the international oil price remains near current levels.

The prospect of Guyana becoming a successful oil producer/exporter will be a source of tension with Venezuela.

Transparency and effective economic management may prove difficult to achieve.

The fluctuating oil price will affect governments’ ability to budget effectively.

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