Three-Decade GTT Monopoly To End This Week…US$44.1 Million Still Owed To GRA Since 1991

On Friday, October 2, 2020, the Vice President announced that the telecommunications sector would see a drastic change and provide more space for competition. The Telecommunications Bill was passed in 2016 under the APNU/AFC administration, and after decades under a virtual monopoly, the Guyana Telephone and Telegraph (GT&T) will be faced with more competitors in the coming years. 

 “Liberalisation is a promise that we made a long time ago. Both parties agreed to this, and we need to get it implemented. We are hoping by next week that could happen, but we had to go through a ton of technical work doing that,” said Jagdeo.

This move will allow more privately owned businesses to invest and create alternatives, which will boost the job market within Guyana. Since the early 1990s, GTT has been in operations in Guyana. In 2010 their contract was extended for another 20 years, with a new bill having been passed into law in 2016 under the APNU/AFC government. With the PPP/C having failed to get an alternative bill passed in their favor after 23-years in power, this new bill will now be a benefit to all Guyanese citizens. 

The Guyana Revenue Authority (GRA) is still in a dispute with GTT for owing the U.S. $44.1M in taxes since 1991. In February, the GRA rejected a settlement that was put forward by the GTT, indicating that negotiations must set a precedence for future settlements. Vice President Jagdeo suggested that the move to end the monopoly has nothing to do with the settlement. 

“The liberalization is not dependent, not dependent on a settlement there. If that’s the case, then GTT can always say ‘we never reached a settlement with you’ then you can never liberalize so that is not a condition for liberalization-reaching agreement on the tax matter,” said the Vice President.