Economic Recovery Versus Inflation: Economy Doing Well, but People Aren’t

Despite the economic recovery, the benefits aren’t reaching the average Belizean. People can’t afford the things they were able to afford five years ago due to the rising cost of living. It’s a balancing act that Economic Development C.E.O. Doctor Osmond Martinez tries to put into perspective. He says that because Belize imports most of the products available on shelves, the higher prices influenced by international factors are passed onto consumers.

Dr. Osmond Martinez, C.E.O., Ministry of Economic Development

Dr. Osmond Martinez

“When you look at the economy and it is not only in Belize. It’s a global issue that we are having. In terms of, I always believe that the Briceño administration had to dance with the worst dancers meaning that for example, the Briceño administration took over the government in the middle of the pandemic where some tough decisions had to be taken in order to be where we are today. The second point is that we had a disruption on the global supply chain so a lot of the things that we wanted to do a little bit faster has been so difficult because of the disruption on the global supply chain. And the third one is the invasion of Russian to Ukraine and that immediately spike the increase on fuel cost. So when you look at all these activities. Yes so our macro economy, when we look at economy, you have the macro and the micro. In terms of macro economy we are doing well, we are doing excellent; there are unprecedented numbers. In terms of the micro economy, we have that external economic pressure especially on items that we import. And unfortunately, Belize economic model is one that we import. Everything that we consume, we practically import and we are importing inflation as well when it comes in. And so that has become a problem. But I can assure you that the government of Belize is looking at ways on how to alleviate the issues of cost of living in Belize.”