Suriname plans to share a slice of its oil wealth with all citizens: '$750 with 7% interest'

Suriname’s president is promising a slice of the country’s oil wealth for everyone.

On Monday, Chandrikapersad "Chan" Santokhi announced a plan to deposit $750 into savings accounts for every citizen, with an annual interest rate of 7%.

The program, dubbed “Royalties for Everyone,” comes just weeks after French oil major TotalEnergies signed off on a $10.5 billion offshore oil project. The venture is expected to pump out 220,000 barrels of oil per day by 2028.

Speaking during an Independence Day address, Santokhi vowed that the new oil riches would benefit all. He said royalties will be paid "so that every Surinamese can benefit and profit from oil and gas."

"Everyone shall benefit from this opportunity and no one will be left behind," the president vowed.

"You are co-owners of the oil incomes."

Suriname has struck it big in recent years with massive offshore oil and gas discoveries. Industry experts estimate the country is sitting on more than 2.4 billion barrels of oil and 12.5 trillion cubic feet of natural gas. Consultancy firm Wood Mackenzie predicts Suriname and its neighbour Guyana could supply 12 million metric tonnes of liquefied natural gas annually by the next decade.

For Suriname, the stakes are high. Nearly one in five people live in poverty, and the country’s economy is modest, with an annual GDP of $3.4 billion. But with oil revenues projected to bring in $10 billion over the next 10 to 20 years, the government is determined to turn this windfall into long-term prosperity.

Santokhi had earlier acknowledged the risks of falling into the “oil curse” trap – the economic mismanagement that has plagued resource-rich countries like Venezuela, Angola and Algeria, reported AFP.

Suriname has set up a sovereign wealth fund, similar to Norway’s, to safeguard its oil income.