Countries of the World/COUNTRYS.BIN/dp/0037/00375.txt

Text File | 1991-06-24 | 22KB | 454 lines

$Unique_ID{COW00375}
$Pretitle{402}
$Title{Belize
The Economy}
$Subtitle{}
$Author{Embassy of Belize, Washington DC}
$Affiliation{Embassy of Belize, Washington DC}
$Subject{belize
development
land
government
license
city
minister
services
industry
agricultural}
$Date{1990}
$Log{Stone Carving*0037501.scf
Islands*0037502.scf
Leopard*0037503.scf
Pecory*0037504.scf
Sailing*0037505.scf
Table 2.*0037501.tab
Table 3.*0037502.tab
}
Country:     Belize
Book:        Fact Sheet Belize
Author:      Embassy of Belize, Washington DC
Affiliation: Embassy of Belize, Washington DC
Date:        1990

The Economy

[See Stone Carving: Courtesy of the Embassy of Belize, Washington DC.]

     A number of Government and international development agencies are
involved in assisting the Government of Belize in its development through
economic cooperation programmes. These include the U.K. Government, the
Canadian International Development Agency (CIDA), the United States Agency for
International Development (USAID), CARE, United Nations agencies, the
European Development Fund (EDF) and the Caribbean Development Bank (CDB).

     The economy of Belize was traditionally based on forestry, mainly the
export of logwood, mahogany and chicle. The country's economy is now based on
agricultural development. But in recent years there has been a resurgence in
forestry.

     The main exports are sugar, citrus, bananas, fish products (mainly
lobster), timber and garments.

     Dairy farming is growing in importance and the livestock industry
continues to grow.

     Several oil companies hold exploration or prospecting licenses. Oil was
discovered in the north of the country in 1981, but not in commercial
quantities.

     Tax concessions and other incentives encourage the development and
diversification of manufacturing industries which include clothing and
textiles for export, plywood and veneer manufacturing, matches, beer, rum,
soft drinks, furniture, boat building, and battery assembly.

     Exports in 1988 totaled Bz.$232.5 million and imports Bz.$361.9 million.

Currency and Banking

     The currency unit is the Belize Dollar (Bz.$). The fixed rate of exchange
is Bz. $2.0 to US $1.0 There are four commercial banks (the Belize Bank Ltd.,
Barclays Bank PLC, the Bank of Nova Scotia and Atlantic Bank Ltd.), and a
Government Savings Bank.

     A Central Bank has been set up to replace the Monetary Authority of
Belize. Recent amendments to the Banking Act permit offshore banking.

Finance

     Customs duties account for more than half of total revenue. The next
important source is income tax, which accounts for more than a third. The main
items of expenditure are agriculture, public works, education and defence.
Belize does not receive any external aid for its recurrent revenue. The
1989-90 national budget is Bz. $244.6 million. Capital expenditure is financed
through economic cooperation programmes with the U.K., Canada and U.S.A. and
the loans from the Caribbean Development Bank. Belize received Bz. $20.0
million under U.S. Caribbean Basin Initiative to assist in private and public
sector projects.

Land

[See Islands: Courtesy of the Embassy of Belize, Washington DC.]

     On December 31, 1973 the Belizean Government published an Act (No. 31 of
1973) designed to discourage land speculation and encourage land development
by aliens and alien-controlled companies.

     As a result of this law, in order to purchase land in excess of one half
acre within a city or town, or in excess of ten acres outside a city or town,
an alien must obtain a license from the Minister of Natural Resources. Such
license shall be recorded in the General Registry as a deed. The terms and
duration of such license are negotiable but generally will require the
licensee to do a certain amount of development work or spend a certain amount
of money on development of the land under license during the period of the
license. The Minister may at his discretion alter, amend or extend the terms
of such a license.

     Breach of any term or condition in a license shall render void. The
Minister may by notice in writing give a licensee three months to comply with
any term or condition of the license which has been breached, and if the
licensee fails to comply within the time specified, the Minister may, by
notice in writing to the licensee, declare the license void.

     If the license is declared void by the Minister, the licensee has a right
to appeal to the Supreme Court for review of the Minister's decision.

     If there is no appeal or if the appeal is dismissed, then the Minister
may record a deed in the Registry cancelling the license and thereupon the
land in respect of which the license was issued and all buildings, fixtures
and appurtenances thereon shall forthwith be forfeited to the Government.

     An alien leasee (or beneficiary) under a will has the right to receive
the proceeds of sale from land left to him under the terms of a will.

     Once the conditions of the license have been fulfilled to the
satisfaction of the Minister, the Minister shall grant a certificate declaring
that the license shall no longer be voidable, thus cancelling the encumbrance
created by the license. This certificate shall be recorded in the General
Registry as a deed.

     The incumbent Minister has given an assurance that any bona fide
developer will encounter no problem in obtaining a license provided that the
developer is prepared to carry out a meaningful amount of development during
the term of his license. The Minister has also affirmed that once this
development obligation has been fulfilled, there will be no delay in the
issuance of a certificate declaring the license no longer voidable. In the
case of land which already is developed, a license will be required but there
will be no development obligations under the license.

     While no regulations have been made by the Minister governing the
issuance of license, in the case of licenses covering agricultural land the
general requirement is that the licensee must agree to develop at least 10% of
the arable land annually until all such land is developed.

     As a rule, Government does not sell its land outright. But it provides
arrangements whereby the leasee must first develop the land within a certain
period with option to purchase afterwards.

     Land for lease is available at an average of about $2.50 per acre per
year.

     The price of land, depending on location and accessibility, varies
between $30. and $200. per acre uncleared.

     Land clearing using tractors costs between $200. and $500. per acre,
depending on size and type of terrain. Clearing land using the slash and burn
method is about $90. per acre.

Agriculture

     Agriculture currently provides some 65% of the country's total foreign
exchange earnings, and employs approximately 30% of the total labour force.

     Although about 1,998,230 acres or 38% of the total land area are
considered potentially suitable for agricultural use, only perhaps 10 to 15%
is in use in any one year. About half of this is under pasture, with the
remainder in a variety of permanent and annual crops. The traditional system
of "milpa" (shifting cultivation) involves the annual clearing of new land for
crop production; however, there is an increasing number of farmers making
permanent use of cleared land by mechanical means. A tax is levied on the
unimproved "value" of the land.

     The expansion and improvement of agriculture is one of the principal aims
of national development planning. The Department of Agriculture of the
Ministry of Agriculture & Fisheries maintains an extension service with
officers posted in all districts. Agricultural research is conducted at the
Central Farm Research Station into a variety of tropical crops, livestock and
pasture. Agricultural research is also done by other non-governmental bodies
within the country. The Ministry also provides mechanical, veterinary and
quarantine services t