Guyana Real Effective Exchange Rate

Guyana’s real effective exchange rate (REER) has fallen dramatically since the early 1980s, moving from an all‑time peak of 1,258.07 in 1985 to a historic trough of 88.13 in 1994, before stabilising at 112.79 in 2024, which places the country 77th in the global ranking. The steep decline over the 45‑year sample reflects periods of devaluation that boosted export competitiveness, particularly during the early 1990s when the REER hit its low point. Since then, the index has hovered near the mid‑110s, closely aligning with peers such as Lithuania (112.75) and Poland (113.01), suggesting comparable external price adjustments despite differing economic structures. The modest appreciation from the trough to the current level indicates a gradual rebalancing of the terms of trade, yet the REER remains well below its 1985 high, underscoring limited real appreciation. Future movements will likely depend on fiscal discipline, commodity price trends, and the pace of structural reforms, which could either sustain the present stability or trigger a new shift in the exchange‑rate trajectory.