Home . Contact us
         
Guyana - Background

Why Guyana? Background Economy Government Priorities

Country and People

The name Guyana is derived from an Amerindian word meaning land of many waters, which aptly describes the country. Its coastal region is about four and a half feet below sea level at high tide, but its hinterland contains mountains, forests, and savannahs. This topography has endowed Guyana with an extensive network of rivers and creeks and a large number of waterfalls, including the famous Kaieteur Falls that has a direct perpendicular drop of 225.9 metres (741 feet).

Guyana is a secular state that embodies a multi-ethnic society - East Indians, Africans, Chinese, Portuguese, Europeans and indigenous Amerindians - of approximately 765,000 inhabitants. Religious affiliation for the Guyanese population breaks down as follows: Christian 50%, Hindu 35%, Muslim 10%, other 5%. Members of different religions cohabit peacefully. English is the official language of Guyana, and is the language of education, commerce and government.

Guyana's total area is approximately 215,000 square kilometers (83,000 square miles), slightly smaller than Great Britain. The country is divided into three counties: Demerara, Essequibo and Berbice and ten administrative regions, with its capital residing in the City of Georgetown. Ninety percent of the population lives on the coastal strip. The Amerindians, Guyana's indigenous people, mainly inhabit the savannahs and forest regions.

The topography is varied and may be divided into four ecological zones:

The Coastal Zone – This is a low, narrow plain about 25 km (15 mile) wide, adjacent to the Atlantic Ocean and occupying about five percent of the country's land mass. This coastline lies below sea level in parts and is dissected by the estuaries of sixteen major rivers, scores of smaller creeks and countless drainage and irrigation canals. Protected by sea defenses, the majority of the population lives here and the zone is the most important administrative, agricultural, commercial and industrial area in the country.
The Hilly Sand and Clay Zone – This 150 to 250 km (90 to 150 mile) wide area lies south of the coastal plain and occupies about 25 percent of the country’s landmass. The soil supports valuable timber stands and bauxite mines. The sparse population is concentrated among logging and mining centers and a few Amerindian settlements.
The Forested Highland Zone – This zone contains the country's four major mountain ranges—Acarai, Imataka, Kanuku and Pakaraima—that form part of the greater Guiana Highlands, and includes the richest gold and diamond deposits. Here, the population is sparse, with a few settlements of loggers and miners.
The Interior Savannahs Zone – Comprising 11,655 square kilometers (4,500 square miles), this zone is made up of dry, gently rolling grassland with clumps of trees and several small villages. Rainfall is moderate but is concentrated in a single, long, rainy season from the end of April to the end of September.

History
The area of the Guianas is believed to have been settled before 900 AD by Warrau Indians, and later by the Arawak and Carib tribes. Sir Walter Raleigh's voyage in 1595, and his subsequent book on the riches of Guyana, did much to stimulate interest in the area. The French and English, as well as the Dutch, laid claim to the region in the 17th century, and it was settled in separate areas by the three nations – including the Dutch colony located in what is now Guyana.

From 1781 onwards, British influence became increasingly evident, but it was not until 1814 that the colonies of Essequibo, Demerara and Berbice were finally ceded to Britain. In 1831, the colonies merged to become present day Guyana. The territory attained independence on May 26, 1966 and became a Republic on February 23, 1970. It is the only English-speaking country on the South American continent.

Guyana has undergone major political and economic changes over the last 25 years. On the political front, multiparty democracy accompanied by free and fair elections has, since 1992, replaced the effectively one-party system established in 1968 through rigged elections. Under the previous socialist-oriented regime, more than 80 percent of the total value of trade was controlled by the state. State involvement in the economy and unsound economic policies contributed to persistent negative growth rates, which pushed a high proportion of the population into extreme poverty. Since structural, market-oriented reforms were initiated in 1989, economic growth has rebounded, averaging three percent per annum during the decade between 1994 and 2004.

Political and Legal Framework
Guyana is a Republic within the British Commonwealth, with a form of government based on the Westminster System, with an elected Head of State. Guyana elects its government every five years. The President is elected by direct vote for a five-year term and is the supreme executive authority, Head of State and Commander-in-Chief of the armed forces. The President is limited to 2 consecutive terms. The 65 unicameral Assembly is elected through proportional representation. The President appoints a Prime Minister who must be an elected member of the National Assembly, and a Cabinet of Ministers, which may include non-elected members, and is collectively responsible to the legislature. The President also appoints a Minority Leader, who is an elected member of the Assembly chosen by the parliamentary opposition parties as the person most able to command their support. Policy formulation and administration is reasonably effective, but decision-making is occasionally subject to delays. Since the introduction of democracy in 1992, steady progress has been made in improving what at times remains a polarized political climate. Both the Government and the main Opposition party have supported an extensive constitutional reform agenda, and have agreed to move on a further wave of reforms, with a primary focus on improving the operational and administrative capabilities of the National Assembly.

The Constitution is the supreme law of Guyana. It outlines the branches of government and their powers, establishes qualifications and times for elections, lists basic human rights and sets up independent institutions to protect these rights. All laws made by Parliament must be consistent with the provisions of the Constitution. Any law that conflicts with the Constitution is unconstitutional, and therefore invalid.

For the most part, Guyana’s legal system is based on British common law; however, vestiges of a Dutch legal system remain, particularly in the area of land tenure. There are two types of laws in Guyana: 1) common law made by judges in court cases; and 2) statute law, or law of the land, made by Parliament. Enforcement of the law is carried out through a three-tier court system, which is made up of 1) eight Courts of Summary Jurisdiction—commonly referred to as Magistrates Courts—responsible for criminal cases and small claims civil suits; 2) the High Court, which has general jurisdiction in both criminal, civil and land matters; and 3) the Court of Appeals. The Court of Appeals was until recently the final court in Guyana, however, judicial appeals can now be taken to the Caribbean Court of Justice (CCJ).

The law provides a number of legal provisions of interest for businesses and investors, including dispute resolution, protection of person, property, and international investment. Details on these provisions are discussed in the Regulatory Environment section.