Guyana’s Oil Revenues to Fund 32.0% of 2026 Budget as Spending Expands

• Revenue from Guyana’s rapidly expanding oil sector is expected to fund 32.0% of the country’s 2026 national budget, as offshore crude production continues to serve as a pillar of support for the government’s budget. 
• The contribution of GY$495.0Bn (US$2.37Bn) will be transferred from the Natural Resource Fund (NRF) to support the GY$1.558Tn (US$7.47Bn) budget, Dr. Ashni Singh, Senior Minister in the Office of the President with responsibility for Finance, revealed during the budget presentation on January 26.
• The 2026 budget represents a 12.7% increase over the 2025 allocation, with spending earmarked for infrastructure, housing, health and education as the government continues to scale up development spending with oil income.
• Guyana began drawing directly on oil revenues in 2022, when transfers from the NRF accounted for 23.0% of the national budget. That share rose to 29.0% in 2024, and further to 37.0% in 2025, reflecting both higher production and increased withdrawals from the oil fund. The 2026 allocation marks a marginal decrease in oil’s budgetary contribution compared with last year’s US$2.463Bn.
• Guyana’s NRF is governed by a formula enshrined in law to determine a legally allowable withdrawal from the deposits in the previous year. In 2025, the NRF recorded inflows of US$2.47 Bn (GY$515.0Bn).
• Oil revenues are generated primarily from the ExxonMobil-operated Stabroek Block, where production has climbed steadily since first oil in late 2019. Output capacity is about 900,000 barrels per day (b/d), with total capacity expected to rise further as new projects come on stream.
• Guyana is projected to reach production capacity of 1.15 million b/d in 2026, supported by the start-up of the Uaru project, following earlier developments including Liza, Payara and Yellowtail.

(Source: Oil Now & News Room Guyana)