Police said six-year-old Orlando Jaikarran was allegedly chopped to the neck with a cutlass before his partially decomposed body was found in the Waterloo Main Canal, West Coast Berbice.
Two males are in custody as investigators probe the circumstances of his death, according to a police update.
The child was reported missing on Thursday, October 15. His body was found on Tuesday.
Police said the child's father, a suspect in the case, was taken to the scene, where he reportedly pointed out the spot in the canal where the body had been dumped. Police ranks and civilians then joined a search of the area, including patrols along the canal.
The partially decomposed body of a male child, suspected to be Orlando, was recovered from the waterway. Police said the head was missing, along with portions of the left hand and right foot.
The body was taken to Bath Regional Hospital, where a doctor pronounced the child dead. It was then transferred to Bailey's Funeral Home, pending formal identification and a post-mortem examination.
Investigations continue.