IDB Reports Steady Rise in Remittances to Belize Driven by U.S. Earnings

Belize continues to benefit from rising remittance flows in 2025, according to the latest Inter-American Development Bank (IDB) technical report on Latin America and the Caribbean. The study reveals that Belize is among the Central American countries experiencing solid growth in inflows, driven largely by Belizeans living and working in the United States.  The IDB estimates that Belize will close 2025 with a 4.5% increase in remittance receipts, reflecting continued reliance on overseas family support during a year marked by global uncertainty. This growth places Belize behind high-performing Central American neighbors such as Honduras, Guatemala, Nicaragua, and El Salvador, but still firmly within the group showing upward movement.   The report highlights that 84.1% of all remittances to Belize originate from the United States, underscoring the country’s economic connection to its diaspora abroad. Smaller but growing percentages come from other jurisdictions in the region and beyond.   Central America as a whole is expected to see 20.4% growth in remittances in 2025, the highest of any subregion in Latin America and the Caribbean. While Belize’s growth rate is more modest, it contributes to the overall upward trend driven by higher working hours among migrants and increased remittance frequency.   By year-end, Central America is projected to receive US$55.4 billion in remittances, representing 31.8% of all remittances to Latin America and the Caribbean, a noticeable increase from 2024. Belize forms an important part of this regional economic footprint.   The report also analyzes how exchange rates and inflation affect Belizean families. Across Central America, including Belize, the purchasing power of remittances is estimated to decline slightly by 1.3% due to mild currency devaluation and a 2.0% rise in aggregate inflation. Even so, when adjusted for inflation, remittances in local currency still translate to an estimated 19.1% gain over last year, meaning families receiving remittances enjoyed significantly stronger income growth than non-recipient households.  Though Belize does not receive remittances at the scale of larger Central American nations, these transfers remain a crucial safety net for many Belizean families. The IDB notes that remittances across the region are increasingly used to stabilize households against inflation, job insecurity, and fluctuating economic conditions in host countries, especially the United States.  As Latin America and the Caribbean move toward an estimated US$174.4 billion in total remittances for 2025, Belize’s steady inflow highlights the enduring strength of its diaspora and the role of overseas earnings in supporting domestic livelihoods.