[{"bbox": [85, 129, 590, 154], "category": "Section-header", "text": "# 4 IMPLEMENTATION ARRANGEMENTS"}, {"bbox": [85, 186, 377, 213], "category": "Section-header", "text": "## 4.1 Financing Agreement"}, {"bbox": [85, 246, 1143, 301], "category": "Text", "text": "In order to implement this action, it is choose envisaged to conclude a financing agreement with the partner country."}, {"bbox": [85, 334, 505, 361], "category": "Section-header", "text": "## 4.2 Indicative Implementation Period"}, {"bbox": [85, 393, 1144, 537], "category": "Text", "text": "The indicative operational implementation period of this action, during which the activities described in section 3 will be carried out and the corresponding contracts and agreements implemented, is 48 months from the date of where a financing agreement is concluded. Extensions of the implementation period may be agreed by the Commission's responsible authorising officer by amending this Financing decision and the relevant contracts and agreements."}, {"bbox": [85, 568, 689, 596], "category": "Section-header", "text": "## 4.3 Implementation of the Budget Support Component"}, {"bbox": [85, 612, 717, 639], "category": "Section-header", "text": "### 4.3.1 Rationale for the Amounts Allocated to Budget Support"}, {"bbox": [85, 654, 391, 680], "category": "Text", "text": "2017-2021 ICZM budget support"}, {"bbox": [85, 713, 1144, 857], "category": "Text", "text": "From December 2018 until August 2020 Guyana went through a constitutional crisis. This context rendered the operational ability of the Government limited and temporally affected the budget transparency and oversight criteria. The ICZM Budget Support programme played a critical role in Guyana's Covid-19 response and the country's socio-economic recovery, especially in 2020/21, as support in the implementation of the public policies became more pressing and necessary."}, {"bbox": [85, 887, 1143, 970], "category": "Text", "text": "The consistency between budget allocation and policy sector (sea and river defence programme) was solid with a budget allocation of almost 30%, which represented an increase of the sector allocation, compared to previously."}, {"bbox": [85, 1001, 1144, 1145], "category": "Text", "text": "The overall budget of the previous budget support action, EUR 29.200.000, representing 36% of the sector budget for the period 2017/2021, was composed of 57% of fixed tranches and 43% of variable tranches. The total disbursement was 96% of the total budget support action. Based on this, and in order to reinforce the result oriented approach the budget of the new mangroves budget support increased the variable tranche proportion to 70% with 30% for fixed tranches."}, {"bbox": [85, 1175, 491, 1202], "category": "Text", "text": "New Guyana Mangroves budget support"}, {"bbox": [85, 1235, 1144, 1465], "category": "Text", "text": "While the total overall budget, EUR 4,620,000 is considerably less than the previous budget support, it is still relevant for the sector. In particular in view of the recent IMF press release (3rd June 2022) indicating that \"Guyana's medium-term prospects are more favorable than ever before, with increasing oil production having the potential to transform Guyana's economy. Guyana's commercially recoverable petroleum reserves is estimated to be well over 11 billion barrels, the third largest in Latin America and Caribbean, and one of the highest levels of oil reserves per capita in the world. This could help Guyana build up substantial fiscal space and external buffers to absorb shocks while addressing infrastructure gaps and human development needs\"."}, {"bbox": [85, 1496, 1144, 1639], "category": "Text", "text": "In that context, the new Guyana Mangroves budget support will consolidate the position of the EU as the main development partner in the country and in the sector, now from a greener approach. Furthermore, it will pave the way for consolidation efforts on institutional strengthening, and human and capacity development. In addition to this, this action will allow the EU to continue its engagement in the PFM area at a crucial transitional moment for the country."}, {"bbox": [1028, 1681, 1143, 1705], "category": "Page-footer", "text": "Page 22 of 27"}]