PM Briceño Addresses Rising Cost of Living and Wages

Coming out of Friday’s House meeting was the issue of the rising cost of living and the Government’s efforts to cushion the economic blow on Belizean families. The discussion came amid an increase in electricity rates and continued public concern over the cost of basic goods and services.  Prime Minister John Briceño says his administration is taking steps to ease the financial pressure on consumers. He acknowledged, however, that several factors driving prices are beyond the Government’s control. The Prime Minister also spoke about wages and the need to help Belizeans keep pace with the cost of living.

John Briceño, Prime Minister of Belize: “Of course I’m very concerned about affordability. Everybody is very, very concerned and I need to repeat to you I’ve told you over and over most of these things we have no control. We don’t have control for the price of fuel. We don’t have control for the price of goods that are being imported in the country. We have not been raising taxes. Now we could control tax, but short of that, we can’t. The truth of the matter is that we are trying to do everything that we possibly can to be able to assist. Where we can control and where we can help we do.So what have we been doing? Well for instance we raised the minimum wage and I know Senator Denisson was making a big deal about that. I think I’m going to be kind to him, I don’t think he really understands the entire process because the minute if we were to go say $10 or $20 the immediately private sector will say we can’t afford that and then we have a completely bigger problem, not only unemployment, businesses is going down, but even inflation. So there are many aspects of different areas that you have to look at as a government, as a responsible government. So what we have said that we want to raise it to another dollar but we promised the chamber that we will sit down with them and have some more real discussions as to when would be the best time to be able to raise it. I would want to do it fro yesterday but something like this is a process. But more than that, look we have increased the threshold exemptions from income tax. That puts more money in your pocket. We’re expanding national health insurance. That puts more money in your pocket. We’ve been giving the free education. I think most if not all government high schools now are totally free; books, even uniforms where necessary that puts more money in your pocket. So we’ve been looking in areas where we can do something, we do. But the importation and the goods that we import into this country we do not have a cost of it.”

Reporter: And yet many Belizeans are saying in the face of all that you have been ding it’s not yet enough.

John Briceño, Prime Minister of Belize: “And I fully understand but tell me what you want me to do.”

One initiative being considered is the establishment of what the Prime Minister calls “community stores.” The proposed outlets would offer basic goods to consumers at more affordable prices.

John Briceño, Prime Minister of Belize: “We are working on the idea of trying to come up with community stores. I’m glad you reminded me because right now we’re trying to put the project together. You see you don’t want to do something then two years later, three years later it becomes a drain on the government finances. So we want to do it in such a way where probably we just put like a 5% markup on these things. I’m not in that grocery business so we’re trying to find the right partners. We’re not there so please we don’t want you to run around saying we don’t find. We don’t but to be able to find the right partners where maybe we can put maybe a hundred products, you know the basic products that people can then buy. So we are concerned, we feel it, we want to do everything that we possibly can but at the same time there’s a lot of things that are going that we have to be dealign with at the same time.”

The Prime Minister says the initiative forms part of the Government’s broader effort to reduce the cost-of-living burden and provide some relief to families dealing with higher household expenses.