THE Government of Guyana successfully shielded local households from the full force of global price pressures through several proactive policy actions last year, according to Senior Minister in the Office of the President with Responsibility for Finance, Dr Ashni Singh, during his presentation of Budget 2026 to the National Assembly on Monday.
The government, Dr Singh said, maintained the 12-month inflation rate at an estimated 2.5 per cent by the end of the year, despite ongoing global price pressures.
The Senior Minister pointed out that the government took multiple steps throughout 2025 to protect Guyanese households from rising imported inflation and increasing global commodity prices.
Key measures included keeping the zero per cent excise tax on petroleum products and lowering the price of refined petroleum at the pump.
This provided direct relief to consumers and businesses that rely on fuel. In a significant move, the government also removed bridge tolls on the Bharrat Jagdeo Demerara River Bridge, Berbice River Bridge, and Wismar Bridge.
This ended a regular expense for commuters and lowered transportation costs nationwide. Additionally, the government adjusted freight charges back to pre-pandemic levels when calculating import taxes, which helped lighten the cost of imported goods.
To support farmers and stabilise food prices, the government continued distributing fertiliser to ensure access to vital inputs and maintained production levels across key crop types. Despite these efforts, consumer prices rose slightly.
The 2.5 per cent inflation rate was mainly driven by food prices, which went up by 4.4 per cent, contributing 2.2 percentage points to the overall rate. Within the food category, price increases for meat, fish, and eggs added 0.6 percentage points, while vegetables and vegetable products added 0.5 percentage points to inflation.