Tourism is the number one foreign exchange earner in this small economy, followed by exports of marine products, citrus, cane sugar, bananas, and garments. The government’s expansionary monetary and fiscal policies, initiated in September 1998, led to GDP growth averaging nearly 4% in 1999-2007. Oil discoveries in 2006 bolstered this growth. Exploration efforts have continued and production has increased a small amount. In February 2007, the government restructured nearly all of its public external commercial debt, which helped reduce interest payments and relieved some of the country’s liquidity concerns. Growth slipped to 0% in 2009 and 1.5% in 2010 as a result of the global slowdown, natural disasters, and the drop in the price of oil. With weak economic growth and a large public debt burden, fiscal spending is likely to be tight. A key government objective remains the reduction of poverty and inequality with the help of international donors. Although Belize has the second highest per capita income in Central America, the average income figure masks a huge income disparity between rich and poor. The 2010 Poverty Assessment shows that more than 4 out of 10 people live in poverty. The sizable trade deficit and heavy foreign debt burden continue to be major concerns.

GDP (purchasing power parity)

$2.651 billion (2010 est.)

$2.599 billion (2009 est.)

$2.6 billion (2008 est.)

note: data are in 2010 US dollars

GDP (official exchange rate)

$1.396 billion (2010 est.)

GDP – real growth rate

2% (2010 est.)

0% (2009 est.)

3.8% (2008 est.)

GDP – per capita (PPP)

$8,400 (2010 est.)

$8,400 (2009 est.)

$8,600 (2008 est.)

note: data are in 2010 US dollars

GDP – composition by sector

agriculture: 21.6%

industry: 20.2%

services: 58.2% (2010 est.)

Population below poverty line

43% (2010 est.)

Labor force

120,500

note: shortage of skilled labor and all types of technical personnel (2008 est.)

Labor force – by occupation

agriculture: 10.2%

industry: 18.1%

services: 71.7% (2007)

Unemployment rate

13.1% (2009)

8.2% (2008)

Unemployment, youth ages 15-24

total: 19.5%

male: 13.8%

female: 28.8% (2005)

Household income or consumption by percentage share

lowest 10%: NA%

highest 10%: NA%

Investment (gross fixed)

24.3% of GDP (2010 est.)

Budget

revenues: $350 million

expenditures: $400 million (2010 est.)

Taxes and other revenues

25.1% of GDP (2010 est.)

Budget surplus (+) or deficit (-)

-3.6% of GDP (2010 est.)

Public debt

83% of GDP (2010 est.)

83.4% of GDP (2009 est.)

Inflation rate (consumer prices)

0.9% (2010 est.)

-1.1% (2009 est.)

Central bank discount rate

18% (31 December 2010 est.)

12% (31 December 2009 est.)

Commercial bank prime lending rate

13.9% (31 December 2010 est.)

14.1% (31 December 2009 est.)

Stock of narrow money

$354 million (31 December 2010 est.)

$356.7 million (31 December 2009 est.)

Stock of money

$345.7 million (31 December 2008)

$323.9 million (31 December 2007)

Stock of broad money

$1.282 billion (31 December 2010 est.)

$1.084 billion (31 December 2009 est.)

Stock of quasi money

$653.8 million (31 December 2008)

$549 million (31 December 2007)

Stock of domestic credit

$950 million (31 December 2010 est.)

$1 billion (31 December 2009 est.)

Market value of publicly traded shares

$NA

Agriculture – products

bananas, cacao, citrus, sugar; fish, cultured shrimp; lumber

Industries

garment production, food processing, tourism, construction, oil

Industrial production growth rate

1.4% (2010 est.)

Electricity – production

215.5 million kWh (2008 est.)

Electricity – production by source

fossil fuel: 59.9%

hydro: 40.1%

nuclear: 0%

other: 0% (2001)

Electricity – consumption

200.4 million kWh (2008 est.)

Electricity – exports

0 kWh (2009 est.)

Electricity – imports

0 kWh (2009 est.)

Oil – production

4,252 bbl/day (2010 est.)

Oil – consumption

7,000 bbl/day (2010 est.)

Oil – exports

0 bbl/day (2009 est.)

Oil – imports

7,326 bbl/day (2009 est.)

Oil – proved reserves

6.7 million bbl (1 January 2011 est.)

Natural gas – production

0 cu m (2009 est.)

Natural gas – consumption

0 cu m (2009 est.)

Natural gas – exports

0 cu m (2009 est.)

Natural gas – imports

0 cu m (2009 est.)

Natural gas – proved reserves

0 cu m (1 January 2011 est.)

Current Account Balance

-$24.1 million (2010 est.)

-$82.8 million (2009 est.)

Exports

$475.7 million (2010 est.)

$383.9 million (2009 est.)

Exports – commodities

sugar, bananas, citrus, clothing, fish products, molasses, wood, crude oil

Exports – partners

US 30.3%, UK 20.8%, Costa Rica 12.7%, Cote dIvoire 4.6%, Nigeria 4.6% (2010)

Imports

$647.2 million (2010 est.)
$620.5 million (2009 est.)

Imports – commodities

machinery and transport equipment, manufactured goods; fuels, chemicals, pharmaceuticals; food, beverages, tobacco

Imports – partners

US 34%, Mexico 14.3%, Cuba 9.5%, Guatemala 7.6%, China 4.7%, Trinidad and Tobago 4.3% (2010)

Reserves of foreign exchange and gold

$201.7 million (31 December 2010 est.)
$213.7 million (31 December 2009 est.)

Debt – external

$1.01 billion (2009 est.)
$954.1 million (2008 est.)

Exchange rates

Belizean dollars (BZD) per US dollar -
2 (2010)
2 (2009)
2 (2008)
2 (2007)
2 (2006)

via Belize Economy Profile 2012.

As a whole the market saw a decline, notes the Gartner report: “Worldwide sales of mobile phones to end users reached 419.1 million units in the first quarter of 2012, a 2 percent decline from the first quarter of 2011.”

RIM, Nokia, Motorola, LG, and HTC all saw their share of the market shrink when compared to the first quarter of 2011. “Global sales of mobile devices declined more than expected due to a slowdown in demand from the Asia/Pacific region,” said Gartner analyst Anshul Gupta.

“The first quarter, traditionally the strongest quarter for Asia — which is driven by Chinese New Year, saw a lack of new product launches from leading manufacturers, and users delayed upgrades in the hope of better smartphone deals arriving later in the year,” added Gupta.

In contrast, “driven by the continued success of the iPhone 4S, Apple’s sales grew 96.2 percent in the first quarter of 2012 as the new model expanded into new markets and carriers. Sales in China were particularly strong this quarter. With more than 5 million units, China became the second-largest market for Apple after the US,” notes the Gartner report.

Asian Sales Drop

The drop in sales was partly a result of the downturn in Asian markets. “We were not expecting a slowdown in Asia,” Gartner analyst Anshul Gupta said in a statement. “China is usually a particularly big market in the first quarter, with the Chinese New Year normally leading to a sales boom. But this year consumers have held off upgrading, waiting for other high end devices, like the new Apple iPhone.”

Gartner research indicates that Apple sold 33.1 million iPhones sold in the first quarter of 2012 (below what Apple claimed in its financial results last month). The sales place the smartphone maker in third place behind Samsung and Nokia, with 8 percent of all worldwide mobile phone sales. That is the total mobile phone market, including standard handsets as well as smartphones.

Samsung is in first place with 86,567.6 million units sold in the quarter for 20.7 percent share of the market. Samsung overtook Nokia for the first time that quarter. Nokia sold 83,162.5 million units worldwide for a 19.8 percent share of the market.

The report notes that Nokia’s mobile handset sales reached 83.2 million units, a 22.7 percent decrease from the first quarter of 2011. Gupta blames this on Nokia’s slow progress in the smartphone market: “Smartphone sales are becoming of paramount importance at a worldwide level. For example, smartphone volumes contributed to approximately 43.9 percent of overall sales for Samsung as opposed to 16% for Nokia.”

Apple Climbs, Fights

Among smartphone operating systems, Apple’s iOS saw a year-over-year increase from 16.9 percent share in the first quarter of 2011 to 22.9 percent share to kick off 2012. Apple and Samsung accounted for 49.3 percent of all smartphone sales worldwide. This is above the 29.3 percent the two collectively represented in the first quarter of 2011, notes the report.

Gartner notes that Android is beating the iPhone: “In the smartphone OS market, Android accounted for more than half of all smartphone sales (56.1 percent) in the first quarter of 2012.”

However, Gartner analyst Gupta said the smartphone market has become highly commoditized and differentiation is becoming a challenge for manufacturers, particularly those using the Android OS. “This is particularly true for smartphones based on the Android OS, where a strong commoditization trend is at work and most players are finding it hard to break the mould. At the high end, hardware features coupled with applications and services are helping differentiation, but this is restricted to major players with intellectual property assets.”

Gupta adds: “In the mid to low-end segment, price is increasingly becoming the sole differentiator. This will only worsen with the entry of new players and the dominance of Chinese manufacturers, leading to increased competition, low profitability and scattered market share.”

RIM is a sorry tale. The Blackberry maker sold 9.9 million mobile handsets in the first quarter of 2012, with its global share declining to 2.4% as competition increased in its international market strongholds, according to the report. “RIM desperately needs to deliver winning BB10 products to retain users and stay competitive. This will be very challenging, because BB10 lacks strong developer support, and a new BB10 device will only be available in the fourth quarter of 2012,” said Gupta.

via iPhone 5 Expected to Fire Up Mobile Market | PCWorld.

Foreign ministry spokesman Hong Lei said “China’s justified and normal military development” had been unjustly criticised in the annual report, which was released on Friday, according to the Xinhua news agency.

The development of China’s “limited” military force was only geared towards safeguarding its independence, sovereignty and territorial integrity, said the spokesman.

“So long as a country is not hostile to China, it will show no doubt or worry over such development,” he added.

He told Washington to “respect facts, change its mind-set and stop its wrongdoing in issuing similar reports year after year”.

Echoing recent warnings from intelligence officials, the Pentagon blamed China for “many” of the world’s cyber intrusions over the past year targeting US government and commercial networks, including companies “that directly support US defense programs”.

The Pentagon assessment also accused China of exploiting Western commercial technology and buying more anti-ship missiles. Washington has routinely urged Beijing to be more open about its military intentions.

The annual assessment of China’s military resembled previous reports but adopted more diplomatic language, possibly to avoid aggravating delicate relations with Beijing, analysts said.

The American military has long worried that China could potentially limit the reach of US naval ships in the western Pacific with new weapons, and the Pentagon report underlined those concerns.

China’s military budget officially reached $106 billion in 2012, an 11.2 percent increase.

But the US report said that budget does not include major expenditures such as improvements to nuclear forces or purchases of foreign-made weapons. Real defence spending amounts to $120 to $180 billion, the report said.

US military spending, however, still dwarfs Chinese investments, with the Pentagon’s proposed budget for 2013 at more than $600 billion.

Friday’s document was released as the House of Representatives voted to force the US government to sell 66 new fighter-jets to Taiwan, which Beijing considers part of China.

Taiwan welcomed the vote.

“The defence ministry is deeply grateful that the US Congress attaches much importance to Taiwan’s aerial safety,” it said in a statement.

“We will conduct a comprehensive evaluation of the F16 C/D fighter jets and fully negotiate with the US side to acquire the jets that will meet our aerial defence needs.”

President Barack Obama’s administration, anxious to keep ties with an increasingly assertive China on track, is only planning to upgrade existing planes. The measure still needs Senate approval.

via AFP: China says US report on its military unjust.

The Belize Bank has a 110-year history, dating back to the founding of the Bank of British Honduras in 1902, and this past weekend, it celebrated its 25th anniversary as The Belize Bank at a gala event held Friday night in Belize City. The main speaker for the event was Prime Minister and Minister of Finance Dean Barrow—an interesting development against the backdrop of a string of litigations that had ensued between the bank and the Barrow administration since 2008. Barrow, in his address, called for “a new beginning.”

Since 2008, there have been several rounds of legal skirmishes between the Central Bank and the Belize Bank, over the return of the US$10 million Venezuelan grant funds reclaimed by the Barrow administration during its first term of office, as well as the Central Bank’s directive for the bank to give full account of how another US$10 million, gifted to Government by Taiwan, was distributed.

Most recently, in 2011, the Central Bank and the Belize Bank had differences over the treatment of $7.4 million in its accounts for a prohibited share transaction via the parent company, BCB Holdings Limited.

Also in 2011, there was a dispute between the Central Bank and the Belize Bank over transactions with its Turks and Caicos affiliate, which were classified as parallel banking transactions.

Early in his remarks, Prime Minister Barrow noted the economic importance of the bank, saying “the Belize Bank has been perhaps the major source of financing for the productive sector in this nation, and it currently represents some 40% of the banking system.”

The bank reported a major financial setback in 2011 – a loss of $33 million, the biggest in the bank’s history; however, the bank remained optimistic.

“One year of bad performance is not going to jeopardize the future of a bank; what is important is performance trends over a period of time. The continuation or arrest of a bad performance trend will be determined by how aggressive the bank management is in addressing the situation — what managerial action and administrative corrective measures it takes to address the high levels of non-performing loans,” Deputy Group Chief Financial Officer of the Belize Bank, Michael Coye, told Amandala last June.

Barrow also demonstrated an optimistic spirit at Friday’s event – optimistic not only about a positive future for the bank, but furthermore, for better relations between the bank and the financial regulator, the Central Bank.

“It must be with a sense of great satisfaction, then, that the management, staff and clients of this bank look back at its long past, and look forward to its even longer future,” said Barrow. “But pride of place in the financial system of Belize as the country’s largest and oldest bank, also carries a heavy responsibility.”

He said that the bank should set an example in the best traditions of banking.

The Prime Minister noted the desire of the state “to see an ordered and mutually supportive relationship” between the financial regulator and the banks.

“It is no secret, though, that in this regard confrontation rather than cooperation has been, in at least one case, too much the Belizean norm in recent times,” he commented. “This is discomfiting all around and a large dose of shared goodwill is now required to address the problem.”

“…Now nobody is naive enough to expect that the regulatory relationship will never turn adversarial. But the occasions when this happens must be the exception rather than the rule. And a financial system cannot function properly in a climate of unceasing litigation. A way must, therefore, be found out of this thicket, this briar patch.”

Barrow also asserted: “The fact is that the regulator has a job to do, and is given financial oversight authority by the laws of the land. On the other hand, that authority should never be exercised in a bull-in-a-china-shop fashion. Sensitivity, as well as firmness, is required.”

He appealed: “It must be clear by now that I am asking for some sort of middle ground between commercial banks and the regulator, and striking the right balance is not nearly as Jesuitical an exercise as might first appear. If the ultimate authority of the Central Bank is respected, and the Central Bank in turn is realistic and flexible, a via media [Latin for ‘middle way or course’] can indeed be found. Government, as the ultimate custodian of the public welfare, is—needless to say—ready to help. So I declare tonight to the Belize Bank that we fully expect it to partner with us, to use its leadership role, its ingenuity and its resources, to help find a way out of the impasse.”

Barrow then said that he was looking to “a new beginning.”

On the occasion of its 25th anniversary, the Belize Bank is undertaking a comprehensive rebranding exercise. In a statement to the press, it says, “Beginning today, the Belize Bank Limited introduces a new look, complete with a redesigned logo and tagline: The Belize Bank Limited – Our Country. Your Bank.”

It added that, “In line with the bank’s strategic objectives, the bank’s goal is ‘to be the pre-eminent financial services provider in Central America and the Caribbean’, and in order to achieve this status of preeminence the bank will ‘maximize value for individuals and businesses locally and internationally by providing quality and innovative financial services, nurturing long-lasting relationships and delivering superior customer service’.”

via Belize News – Belize Leading Newspaper | Breaking News – Amandala Online.

Martin Alegria

The Belize Coalition to Save Our Natural Heritage—a mounting movement lobbying the government to ban petroleum exploration offshore Belize and inside protected areas—is gearing up to stage a press conference on Tuesday morning, following a signal from Prime Minister Dean Barrow that drilling would proceed in Toledo in a concession area that includes the Sarstoon Temash National Park.

“What is not clearly spelt in law is not prohibited,” Chief Environmental Officer Martin Alegria told Amandala Monday. He said that the approval granted to US Capital Energy to shoot seismic tests in the area also covered exploration wells as a part of the first Environmental Impact Assessment (EIA) process dating back about 4 years. He added that the Forest Department, which is responsible for the onshore protected areas, has no issue, as far as he knows.

At the time when the Sarstoon-Temash Institute for Indigenous Management (SATIIM) took the matter to court, an EIA was mandatory, but after SATIIM—headed by executive director Greg Ch’oc and represented by the now Prime Minister Dean Barrow—took the matter to court, the then administration amended the laws so that an EIA would not be mandatory at the exploration stage.

According to Alegria, the government is now in the process of amending the EIA regulations to require an assessment even for exploration and seismic wells offshore Belize—but not for what he described as non-intrusive seismic scans and satellite imaging.

The Coalition—formed in 2010 in response to concerns over the blanket parceling of petroleum concessions across Belize’s entire territory—has maintained its stance, as it continues to call on the Government of Belize to ban offshore petroleum exploration, as well as drilling in protected areas.

The Chief Environmental Officer told Amandala that if petroleum prospects are deemed to be good when exploration wells are dug, then the well has to be capped before an appraisal is done of the site to estimate the amount of oil at the location.

The new wave of dispute follows a press report on January 7, 2011, in which Prime Minister Dean Barrow is quoted as saying: “if they [US Capital Energy] say they are ready to drill they will be allowed to drill.”

He also told the press that, “Everything is coming up roses in terms of seismic [testing] that has been shot [in the Toledo concession area.]”

Barrow signaled that the matter of drilling in the protected area has gone to Supreme Court Justice Samuel Awich and it has been cleared by the court. Drilling will be permitted, he said.

“I am shocked that you would make such inaccurate statements about the Supreme Court ruling,” Ch’oc responded to Barrow via a subsequent open letter to the media.
“As former lead council for SATIIM,” he added, “you shouldn’t have to be reminded of the 2006 Supreme Court decision regarding SATIIM v the Government of Belize. That case was specific to the seismic testing aspect of oil exploration in the Sarstoon Temash National Park (STNP). You said so yourself…”

Click here to read entire article by Adele Ramos (Amandala) Jan 25, 2011

The Egyptian authority that runs the canal has denied any knowledge of the transit.

Avigdor Lieberman said on Wednesday the ships would cross later in the day, en route to Syria. He offered no evidence and did not say how he knew it.

Ahmed Al Manakhly, director of transit in the Suez Canal Authority, told Al Jazeera that for any warship to cross through the canal, “requires approval from the Egyptian ministry of defence and security officials 48 hours in advance.”

Al Manakhly said until now they had not received such a request.

He said under international treaties, Egypt cannot prevent passage to vessels of any country unless it is in a state of war with that country.

Al Jazeera’s Cal Perry, reporting from Jerusalem, said that the Israeli media does not seem alarmed by Lieberman’s claims.

“We have to remember that this is Lieberman’s job here in Israel. He has to stay on top of these things and he has been beating this drum for the past week.”

Iran’s semi-official Fars news agency had reported on January 26 that Iranian navy cadets were going on a year-long training mission into the Red Sea and through Suez to the Mediterranean.

They were training to defend “the country’s cargo ships and oil tankers” against the threat of Somali pirates, it said.

Barack Obama, the US president, is aware of Iran’s plans for sending the ships through the Suez, the White House said.

“We’re aware of it,” spokesman Jay Carney said. He declined further comment on the issue.

“It would be inappropriate to speculate about the future movements of another country’s ships,” Chris Perrine, a Pentagon spokesman said. “I recommend you contact the government of Iran.”

Christian Le Miere of the International Institute for Strategic Studies said Iranian commercial ships regularly used Suez but he was not aware of the Iranian navy ever doing so.

“That said, it’s hard to see this as a credible threat to anyone. Two warships don’t make a flotilla,” Le Miere said.

“As long as they (Iranians) are not conducting some sort of belligerent operation I think they would have a right to go through the canal like any other country,” said James Kraska, professor of international law at the US Naval War College.

BELIZE DISTRICT

UNLAWFUL IMPRISONMENT/ROBBERY

Mike SMITH, a 19 year old Belizean messenger of Cairo Street Belize City, reported that on April 11th 2012 at 11:45pm, whilst walking on Wilson Street Belize City, he was approached by Reginald WAGNER who took out a Police Badge and told him that he was a Police Officer. WAGNER then demanded SMITH’s properties and told him that he would be locked up. At the same time, WAGNER took out what appeared to be a firearm from his pants’ waist and pointed it at him. Fearing for his life, SMITH handed over his cell phone along with $220.00nbcy in cash. Mike SMITH was then taken, by gun point, to an apartment on Daly Street and was placed in a chair with both hands tied behind his back where he was allegedly beaten byReginald WAGNER. He was later released at 4:00 am on April 12th 2012. Police are looking for Reginald WAGNER as their investigation into this matter continues.

ARREST

Reference Police Press Release dated April 3rd 2012, be informed that Stephen ANDERSON was formally arrested and charged on April 3rd 2012 for the following: (1) Attempted Murder, (2) Aggravated Assault, (3) Damage to property, (4) Kept firearm without a gun license, and (5) Kept ammunition without a license.

DRUG TRAFFICKING 

On April 12th 2012, Police conducted a house search at the residence of Ernest FORMAN; a 24 year old Belizean laborer of Causarina Street. The search led to the discovery of a plastic bag containing 62 grams of suspected cannabis. As a result, Police arrested and charged Ernest FORMAN and Samantha GARBUTT; a Belizean domestic of said address, jointly with the offence of Drug Trafficking.

FATAL TRAFFIC ACCIDENT

On April 12th 2012 at 5:00pm, acting on information received, Police visited miles 1 and 2 on the Western Highway within the Lord Ridge Cemetery, where they observed the lifeless body of Kent SKEET; a 34 year old Belizean laborer of Holy Emmanuel Street, lying on top of a grave with head and body injuries. A Blue & black Suzuki 500 motor cycle was also seen in the area. Initial investigations revealed that SKEET was riding the motor cycle on the Western Highway, from the direction of Vernon Street into Cemetery Road, and upon reaching the divider in the middle of the Highway he lost control and was flung off the cycle hitting his head. The body was transported to the K.H.M.H where it awaits a post mortem examination.

COROZAL DISTRICT

SHOOTING INCIDENT

On April 12th 2012 at around 6:20pm, acting upon information received, Police visited the Corozal Community Hospital Emergency Room where they saw Abraham EK, Belizean laborer of Ranchito Village in Corozal District, suffering from an apparent gunshot wound to the right side of the chest and on the right forearm. Initial Investigations revealed that on the said date at about 6:00pm, Abraham EK was in the company of other friends in Patchakan Village where he was involved in a confrontation with Michael CLARKE; a 48 year old Belizean Real Estate Broker of Burrell Boom Village Belize District, and one Jury CHARLIE; a 31 year old Belizean laborer of San Antonio Village Corozal District. As a result, CLARKE drew a 9mm pistol and fired several shots in EK’s direction causing his injuries. Police have since detained Michael CLARKE and Jury CHARLIE, pending charges.