Energy Product Derivatives - Guyana

Guyana

The nominal value in the Energy Product Derivatives market is projected to reach US$4.72bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 3.85% resulting in a projected total amount of US$5.70bn by 2029.
The average price per contract in the Energy Product Derivatives market amounts to US$0.21 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$26,910.00bn in 2024).
In the Energy Product Derivatives market, the number of contracts is expected to amount to 27.51k by 2029.

Market

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Analyst Opinion

The Energy Product Derivatives market in Guyana has been experiencing a notable uptick in activity and interest.

Customer preferences: Investors in Guyana are increasingly turning to energy product derivatives as a way to diversify their portfolios and hedge against market volatility. The appeal of these derivatives lies in their potential for high returns and the opportunity to capitalize on price fluctuations in the energy sector.

Trends in the market: One of the key trends in the Energy Product Derivatives market in Guyana is the growing demand for derivatives linked to renewable energy sources. As the global shift towards sustainable energy continues, investors in Guyana are showing interest in derivatives tied to solar, wind, and other renewable energy products. This trend is in line with broader international movements towards environmentally friendly investments.

Local special circumstances: Guyana's emergence as a significant player in the oil and gas industry is also influencing the Energy Product Derivatives market in the country. With the discovery of substantial oil reserves off the coast of Guyana, there is a newfound focus on energy-related investments. This has led to a surge in derivative products linked to oil and gas, as investors seek to capitalize on the country's growing energy sector.

Underlying macroeconomic factors: The overall economic growth and stability in Guyana are playing a crucial role in the development of the Energy Product Derivatives market. As the economy expands and becomes more integrated into the global market, investors are looking for ways to leverage this growth through derivatives. Additionally, government policies and regulations related to the energy sector are shaping the market dynamics and driving investor behavior in Guyana.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.