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Prime Minister John Briceño today presented a comprehensive $1.902 billion national budget for the 2026/2027 fiscal year. Titled “Budgeting for Belizean Prosperity,” the proposal highlights a “seminal surge” in the national economy, with a reported historic unemployment low of 2.0%. The budget outlines total revenues and grants of $1.79 billion, an 8.5% increase over the previous year, driven by economic growth and improved collection efficiencies. Recurrent expenditure is set at $1.296 billion, while capital investments see a significant boost to $606.8 million. Prime Minister Briceño emphasized his administration’s “meticulous” approach to debt management, reporting that the public debt ratio has been slashed in half since 2020. The Prime Minister further noted that Belize’s debt is now viewed as sustainable by international rating agencies and the IMF. The government aims to continue this downward trajectory, targeting a debt-to-GDP ratio of 50% by 2030.
John Briceño, Prime Minister of Belize: “ In our first term of office, we were meticulous in managing the public debt. The record shows that after inheriting a debt load that was north of 130 percent of annual GDP, our administration slashed that debt ratio in half. Our approach to managing the public debt will remain just as disciplined and meticulous during the second term. At present, the public debt stands at $4.676 billion, which is approximately 66.6% of annual GDP. Of this total debt, $2.984 billion or about 64% is external debt owed to creditors outside of Belize. The balance of $1.692 billion, or 36%, is debt denominated in Belize dollars, or to local lenders and to the Central Bank. During fiscal year 2025-26, government paid $131.8 million in interest charges on the public debt. This means that government’s average borrowing rate is 3.5%. During the last budget year, $128 million was paid in amortization or principal payments. For the new budget year, government expects to pay $189.1 million in interest and $140 million in principal repayments. Today, Belize’s public debt is considered to be on a sustainable foundation, but not only by the IMF, but also by the international rating agencies. Total revenue and grants for the fiscal year was, for this fiscal year, was $1.653 billion of which $1.59 billion represented recurring revenue. Of that recurring revenue, $1.59 billion in the current revenue, as I mentioned, of which $1.465 billion was tax revenue, namely taxes in four broad categories, income at profits, property, international trade and transaction, and goods and services. Non-tax revenues for the year totaled $125.4 million. Capital revenues almost entirely from the sale of crown land totaled $4.413 million. $58 million was the total value of grants received during the fiscal year. On the expenditure side, for the fiscal year was $1.687 billion, recurring spending total $1.229 billion and capital spending total $458 million. On the capital spending, capital 2 investments financed from domestic sources amounted to $345 million and capital 3 spending financed from external sources amounted to $105 million. Government spending on salaries for its estimated 15,000 workforce, all teachers and public officers was $598 million with an additional $123 million spent on pensions and excretion payments. Put differently. 58 cents of every dollar of government recurring spending goes to salaries and pensions. And put another way, 45 cents of every dollar of tax collected are spent on just these two categories.”
A major portion of the $606.8 million capital budget is dedicated to transformative infrastructure projects, particularly the modernization of the country’s primary transport arteries.
John Briceño, Prime Minister of Belize: “We will be appropriating a record $488.6 million to our capital to budget. That is a portion of the overall capital program that is funded from general revenue, as opposed to donor financing. This year we will be appropriating $117.4 million to our capital three budget, the overwhelming proportion coming from either highly concessionary loans from international development agencies, or in some cases grants from our bilateral partners. Here is just a sampling of the key capital projects that drive this year’s public investment program, in conformity with Belize’s medium-term development strategy, as well as the overarching goals of Plan Belize 2.0. In health, $19.1 million for the construction of a state-of-the-art hospital in San Pedro Town, I think the UDP had voted for that hospital about three times, five times in a budget in two terms and never did build it. Yes. So we are building the hospital in San Pedro Town on Abergris Caye that will also help Caye Caulker. Let’s not forget. And this is funded by a grant from our highly valued bilateral partner the Republic of China, Taiwan. Madam Speaker, I wish to note that many of these capital two and capital three programs are multi-year programs and the figures mentioned above are for this fiscal year only.”
Additional infrastructure highlights include the Belize City Swing Bridge Replacement, a 28 million project funded by the Government of Japan; Energy Expansion: Over 100 megawatts of new renewable capacity planned through solar and hydroelectric upgrades; National Health Insurance (NHI): Extension of coverage to the entire Cayo District, aiming for 325,000 nationwide users. The 2026/2027 budget signals a “decisive shift” in education with the launch of the Belize Education Sector Plan 2026–2030. The Prime Minister also announced significant structural reforms intended to improve long-term sustainability including tax modernization, specifically, the transformation of the Belize Tax Service into a Semi-Autonomous Revenue Authority (SARA) and the implementation of electronic invoicing. Debate on the proposed budget estimates is expected to begin in the National Assembly in the coming days./
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