BELMOPAN, Belize, CMC – Prime Minister John Briceño says Belize’s public debt stands at BDZ$4.676 billion (One Belize dollar=US$0.49 cents), which is approximately 66.6 per cent of the annual gross domestic product (GDP).
Presenting the BDZ$1.79 billion budget to Parliament on Tuesday, Briceño said that the Central Bank expects Belize’s economy to strengthen modestly, with real GDP projected to grow conservatively at 2.3 per cent.
He told legislators that during his administration’s first term of office, from November 2020 to March 2025, it had been meticulous in managing public debt, and that the record shows that, after inheriting a debt load north of 130 per cent of annual GDP, it has since been slashed by half.
“Our approach to managing the public debt will remain just as meticulous during this second term. At present, the public debt stands at BDZ$4.676 billion, which is approximately 66.6 percent of annual GDP.
“Of this total debt, BDZ$2.984 billion or about 64 per cent is external debt owed to creditors outside of Belize. The balance of BDZ$1.692 billion or 36 per cent is debt denominated in Belize dollars owed to local lenders and to the Central Bank,” he said.
Briceño said that during fiscal year 2025/26, the government paid BDZ$131.8 million in interest charges on public debt.
“This means that the government’s average borrowing rate is 3.5 per cent. During the last budget year, BDZ$126 million was paid in amortization or principal payments. For the new budget year, the government expects to pay BDZ$189.1 million in interest and BDZ$140.0 million in principal repayments.
“Today, Belize’s public debt is considered to be on an absolutely sustainable foundation, not only by the International Monetary Fund (IMF) but also by the international rating agencies,” Briceño said.
He said that the global environment is expected to remain broadly stable and that the IMF projects global growth of 3.3 per cent in 2026, driven by easing inflation and ongoing investment, despite persisting protectionist risks and geopolitical uncertainty.
He said inflation in major economies is expected to decline further as supply chains continue to normalize and energy markets remain steady.
“Across Latin America and the Caribbean, growth is projected to remain modest. The broader Caribbean, excluding Guyana, is expected to expand by 1.7 per cent, shaped by developments in external demand, transport costs, and climate-related pressures.
“In 2026, the Central Bank expects Belize’s economy to strengthen modestly, with real GDP projected to grow conservatively at 2.3 per cent. This outlook reflects ongoing efforts to build greater resilience in tourism and agriculture, as well as to direct strategic investments into priority areas, such as energy, infrastructure, and healthcare.”
Briceño said that from a sectoral perspective, growth is expected to be less volatile across sectors and within them.
He said primary sector growth will be supported by sugarcane rehabilitation, strong demand for grains, expansion in non-traditional crops, livestock development, and a measured recovery in citrus.
The secondary sector is projected to record gains across all industries, with improved agricultural output bolstering manufacturing and biomass-based electricity generation, while heightened public investment supports construction.
Tertiary sector output is expected to rebound modestly. Expanded airlift capacity, strengthened tourism marketing, and improved room stock are projected to strengthen performance in transport, food and accommodation, and trade. Additionally, continued expansion in government services, business process outsourcing, and financial services will further support growth momentum.
Briceño said, notwithstanding, short-term economic developments will continue to be influenced by factors such as international financial conditions, geopolitical tensions, commodity prices, climatic events, and the trends in international tourism demand.
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