Prime Minister Narendra Modi during a meeting with Guyanese President Mohamed Irfaan Ali, in Georgetown, Guyana, Thursday, November 21, 2024.
Credit: PTI Photo
In the early part of the 19th century, the British empire took thousands of Indians to different colonies as indentured labour, Guyana was one among them. Though this is a dark episode in history, the shared legacy of the horrors of British colonialism has today evolved into a story of intertwined destinies, as both nations navigate paths toward prosperity.
Close to 40 per cent of Guyana’s population is of East Indian origin, and among them is Guyana’s president, Mohamed Irfaan Ali, with his maternal roots in Basti, Uttar Pradesh. This are emblematic of the deep historical bonds between India and Guyana.
Given this, Prime Minister Narendra Modi’s visit to Guyana heralds the potential for a new economic and strategic partnership.
A Wealth of Opportunities
Guyana is in the throes of a resource boom. The discovery of the Bluefin field in the Stabroek block adds to an already staggering tally of over 11 billion barrels of recoverable oil and gas identified since 2015. The Stabroek block, spanning 6.6 million acres, is among the most significant oil finds of the 21st century. Yet Guyana’s economic potential extends beyond its oil reserves. The nation is rich in rice, timber, and gold — sectors where India’s expertise and investment could transform Guyana into a diversified economic powerhouse.
India-Guyana trade reached $105 million in 2023-2024, a modest figure given the scale of opportunities. India is seeking concessions for Indian firms that could play a pivotal role in building the infrastructure Guyana urgently needs to commercialise its ‘black gold’.
India should follow up with bold proposals to offering our oil refineries for their crude. Guyana needs ultra large crude tankers which India could help finance.
Strategic stakes and risks
Oil riches are rarely uncomplicated. Guyana’s prosperity has drawn the attention of its larger neighbour, Venezuela, which lays claim to two-third of Guyana’s territory, including parts of the Stabroek block. As tensions escalate, the risk of conflict looms.
India, with its naval capacity and reputation as a balancing power, could play a stabilising role. Gunboat diplomacy — deploying the navy assets to deter aggression — may become a necessary part of India’s strategy to protect its economic and strategic interests in the region. Additionally, supplying Guyana weaponry could reinforce its defence capabilities, securing the peace needed for economic growth.
Cultural ties and soft power
Where a shared heritage has fostered strong cultural and emotional ties, evident in Guyana’s policies that grant citizenship to those who stay for five years — or three, if they marry a local. India needs a foundational sponsored programme promoting cultural exchange, education, and diaspora engagement.
A rare moment to grow together
For both India and Guyana this moment presents a rare opportunity. India’s energy-hungry economy is perfectly positioned to benefit from Guyana’s resource wealth, while Guyana can tap into India’s oil and gas tech and capital, and political weight to navigate the challenges of its newfound prosperity. Together, they can forge a partnership that turns shared history into a shared future.
Modi’s visit is more than a diplomatic gesture; it is a signal of intent. By investing boldly in Guyana’s potential, India can secure vital resources and enhance its influence in the Americas,
If they seize it, the fruits of this partnership could resonate for generations.
(Ninad D Sheth is a senior journalist)