Declaration of Sophia

Chapter 7 Ownership and Mobilisation of National Resources

7.1 During the period ahead, your Party intends to proceed with the implementation of the policy of ownership and control of national resources. We have been paid the greatest compliment when we see other developing nations doing likewise, and by one means or another seeking to get a greater and reasonable share of the profits which flow from the exploitation of their natural resources.

Our Bauxite

7.2 Guybau has been successful in its operations and has contributed significantly to saving the economy from ruin this year. It continues its expansion programme and in 1975 will be entering the field of international shipping.

7.3 We must also have noted with interest our hosting of the Council of Ministers Meeting of the International Bauxite Association. That meeting endorsed what the P.N.C Government has long articulated, and the formation of the Association itself represents the successful culmination of our efforts which started way back in 1970. We have been proved right. This I observe without beating of drums and boasting. This is no time, nor was there ever a time for such vain exercises.

7.4 In the meantime, you know of the refusal of the remaining foreign owned bauxite company to pay the levy imposed by your Government. Instead it has brought an action in the Supreme Court, which action is proceeding at the moment, and at the same time, through a spokesman, has said that it will not pay regardless of the outcome of the case. What impudence!

7.5 I myself do not desire to make any comment on the merits of the case which is now engaging the attention of the Court, being tried by His Honour the Chief Justice, but shall content myself with observing that this same company has paid a similar levy to the government of Jamaica and Haiti. Obviously, the fact that your Government has announced its intention of nationalising the Company's holdings in Guyana - a matter entirely distinct from that of the levy - is responsible for this company's obduracy.

7.6 As Party Leader and Head of Government, I have been encouraged and heartened by the several resolutions and messages of support to the Government from various Party groups and affiliated organisations, as well as from thousands of other persons and organisations.

7.7 I am sure, therefore, that you would like to know that this morning the President of the Co-operative Republic of Guyana at 9 o'clock signed an order fixing the January 1st, 1975 as the date on which the relevant property of Reynolds Guyana Mines Limited at Kwakwani and Everton will vest in the Government of the Co-operative Republic of Guyana. Talks will proceed on quantum and terms of compensation to be paid later.

Our Financial Resources

7.8 Our mineral and other natural resources are not the only non-human resources which we possess. There are our financial resources.

7.9 Notice was given since 1970 of our intention to miniaturise foreign owned banks and to make the Guyana National Co-operative Bank, THE BANK for mobilising and deploying Guyanese savings in Guyana. Those of us who listened to the Budget preparation by the Comrade Minister of Finance on Monday last must have been impressed by the rapid growth of the Guyana National Co-operative Bank - total resources rising from $9.2M at 31st December, 1970, to $70M at 30th June, 1974, and savings time and demand growing from $6.9M at 31st December, 1970 to $36M at 30th June, 1974.

7.10 The Government, Party and Party members must make a united effort to achieve our oft stated objective during 1975 and bring and end to foreign banks taking and investing local deposits during next year.