Executive Vice President of the Inter-American Development Bank (IDB), DanDan ZelikowZelikow, yesterday met with Minister of Finance, Dr Ashni Singh, to strategise the IDB’s new country strategy for 2008-2012 that will govern the programmes and projects to be jointly undertaken by the IDB and the Government.The theme of the Country Strategy is “to accelerate economic growth through economic diversification and efficient social development.”The Minister shared with Zelikow recent economic and social developments in Guyana, particularly lauding the contribution of the IDB in support of local efforts to modernize the state,Ander Herrera Jersey, expand public infrastructure,Bastian Schweinsteiger Jersey, improve export competitiveness, develop a modern transportation and communication network,Eden Hazard Jersey, and to deepen and widen our social sector programmes.Dr Singh also used the opportunity to outline the government’s medium to long term development programmes in energy, agricultural development with particular attention to the sugar, fruits and vegetables and aqua-culture sub-sectors and our health, education and transport sectors.In a statement to the media last evening from the Finance Ministry, it was noted that the IDB’s new country strategy reflects the revised financing scenario of the Bank, based on the granting of HIPC (Heavily Indebited Poor Countries) debt relief amounting to US$365M to Guyana in the context of the Multilateral Debt Relief Initiative in March 2007.“The granting of the debt relief showed the IDB’s confidence in the management of Guyana’s economy and the strong and stable macro-economic environment which Government has been able to create and maintain.”The relief was retroactive to January 1, 2007, and has significantly reduced the value of Guyana’s total external debt from 122 percent of GDP at the end of 2002 to 38 percent. Guyana had also benefited from an additional $119M in savings from cancelled interest payments.The strategy as outlined by the two parties is expected to engender new,Vincent Janssen Netherland Jersey, innovative and creative funding and investment methodologies.Firstly,Sven Bender Jersey, the new strategy is cast in the frame of three policy and investment pillars, namely: Social Development for growth whereby the GoG and the Bank continues to support asset accumulation while improving access to basic services for all of our peoples so that they may benefit from and contribute to economic development; Enhanced Competitiveness – whereby GoG and the IDB will consolidate on current policies and activities on competitiveness to further enhance our investment profile, locally and internationally, as well as Strategic Infrastructure Investment – whereby GoG and the Bank continues to focus on improving our strategic infrastructure development agenda in support of economic diversification.Secondly, the Country Strategy emphasizes the bank’s increased use of national systems in the execution of its projects and thirdly, by maximizing the efficiency in using IDB resources.“In this regard the meeting discussed the use of flexible lending instruments: to this end, the new country strategy will include at least one programmatic loan and one loan using the Sector Wide Approach.Historically, the IDB has been an engaged and responsive partner in supporting Guyana to surmount its development challenges.Over the years,Netherland Jersey, the Bank has supported several interventions in governance, infrastructure and social development and poverty amelioration in Guyana.In April, 2008 the Minister of Finance inked two agreements totaling US$32.9 million with the IDB for the Power Sector Support Programme and the Agriculture Export Diversification Programme.The IDB’s Executive Vice President’s visit comes after a recent visit by the President of the IDB, Luis Alberto Moreno, in August, 2007 in which President Moreno signed an agreement to finance the pre-feasibility study for the road to Brazil, which comes under the Initiative for Integration of Regional Infrastructure in South America (IIRSA).