Banking In 1994, competition in the financial sector was enhanced by the licensing of two new banks in Guyana. Of the seven commercial banks, two are wholly private-owned. Three others are non-Guyanese with foreign corporate headquarters. With respect to the two others in which the Government has majority shares, steps are being taken to divest them. Since the introduction of market oriented reforms, all direct controls of credit and interest rates have been removed.
Credit is, therefore, market determined.
A new feature of the banking sector is that banks are seeking to provide export credit facilities for small and medium sized businesses. In 1994, a Financial Institutions Bill was tabled in Parliament. This legislation is intended to strengthen and modernize the regulatory framework of the financial sector so as to align it with international and regional standards. The Government has eliminated virtually all price controls. This gives an approximate average of 3.5 SOE's per year.