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Official Name :Belize

PROFILE

Geography
Area: 22,966 sq. km. (8,867 sq. mi.); slightly larger than Massachusetts.
Cities (2010 census): Capital--Belmopan (13,351). Other cities and towns--Belize City (53,532),
Corozal
(9,901),
Orange Walk (13,400), San Ignacio and Santa Elena (16,977), Dangriga (9,096), Punta Gorda
(5,205), and
San
Pedro (11,510).
Terrain: Flat and swampy coastline, low mountains in interior.
Climate: Subtropical (dry and wet seasons). Hot and humid. Rainfall ranges from 60 inches in the
north to 200
inches in the south annually.

People
Nationality: Noun and adjective--Belizean(s).
Population (2010 census): 312,971.
Annual population growth rate (2010 census): 2.65%.
Ethnic groups: Creole, Garifuna, mestizo, Mayan.
Religions: Roman Catholic, Anglican, Methodist, Mennonite, other Protestant, Muslim, Hindu, and
Buddhist.
Languages: English (official), Creole, Spanish, Garifuna, Mayan.
Education: Years compulsory--9. Attendance (2006 est.)--90% primary; 38% secondary. Literacy
(2006 est.)
--76.5%.
Health (2009): Infant mortality rate--23.07/1,000 live births. Life expectancy--68.2 years.
Work force (2009; 122,300): Services; agriculture, hunting, forestry, and fishing; industry and
commerce.

Government
Type: Parliamentary democracy.
Independence: September 21, 1981.
Constitution: September 21, 1981.
Branches: Executive--Queen Elizabeth II (head of state), represented by a governor general; prime
minister
(head
of government, 5-year term). Legislative--bicameral National Assembly. Judicial--Court of Appeal,
Supreme
Court,
district magistrates.
Subdivisions: Six districts.
Political parties: United Democratic Party (UDP), People's United Party (PUP), National Alliance for
Belizean
Rights
(NABR), National Reform Party (NRP), Vision Inspired By the People (VIP), People's National Party
(PNP), We
the
People Reform Movement (WTP).
Suffrage: Universal adult.

Economy
GDP (current market prices, 2010; World Bank): $1.43 billion.
Real annual growth rate (World Bank): 2% (2010); -0.03% (2009).
Per capita income (current market prices, 2010; World Bank): $4,153.
Avg. inflation rate (2010, World Bank): 0.88%.
Natural resources: Arable land, timber, seafood, minerals.
Primary sectors (11.4% of GDP, 2010; Central Bank of Belize): Agriculture, forestry, fishing,
petroleum, and
mining.
Secondary sectors (20.9% of GDP, 2010; Central Bank of Belize): Manufacturing, electricity and
water supply,
and construction.
Tertiary sectors (54.1% of GDP, 2010; Central Bank of Belize): Hotels and restaurants, financial
intermediation,
trade, and transport and communication.
Trade (World Trade Organization): Exports (2010)--$325 million: cane sugar, citrus concentrate,
marine
products,
bananas, clothing, molasses, and crude oil. Major markets--U.S. (49.1%), EU (31.3%), Costa Rica,
Japan,
Mexico.
Imports (2010)--$709 million: food, consumer goods, machinery and transportation equipment,
chemicals,
pharmaceuticals, tobacco, mineral fuels, and lubricants. Major suppliers--U.S. (47.9%), Mexico, China,
Guatemala, and Panama.
Official exchange rate: Since 1976 Belizean banks have bought U.S. dollars at the rate of 2.0175 and
sold
them at
1.9825, making for an effective fixed rate of Belize $2=U.S. $1.

PEOPLE
Belize is the most sparsely populated nation in Central America. It is larger than El Salvador and
compares in
size
to the State of Massachusetts. Slightly more than half of the population lives in rural areas. About one-
fifth live
in
Belize City, the principal port, commercial center, and former capital. More than one-third of the
population is
comprised of persons younger than 14 years of age.

Most Belizeans are of multiracial descent. About 43.7% of the population is of mixed Mayan and
European
descent (mestizo); 29.8% are of African and Afro-European (Creole) ancestry; about 11.0% are
Mayan; and
about 6.6% are Afro-Amerindian (Garifuna). The remainder, about 8.9%, includes European, East
Indian,
Chinese, Middle Eastern, and North American groups.

English, the official language, is spoken by virtually all except the refugees who arrived during the past
decades.
Spanish is the native tongue of about 50% of the people and is spoken as a second language by
another
20%.
The various Mayan groups still speak their indigenous languages, and an English-Creole dialect
similar to the
Creole dialects of the English-speaking Caribbean Islands is spoken by most. The rate of functional
literacy is
76%. About 50% of the population is Roman Catholic; the Anglican Church and other Protestant
Christian
groups
account for most of the remaining 50%. Mennonite settlers number about 8,500.

HISTORY
The Mayan civilization spread into the area of Belize between 1500 BC and AD 300 and flourished
until about
AD
1200. Several major archeological sites--notably Caracol, Lamanai, Lubaantun, Altun Ha, and
Xunantunich--
reflect the advanced civilization and much denser population of that period. European contact began
in 1502
when Christopher Columbus sailed along the coast. The first recorded European settlement was
established
by
shipwrecked English seamen in 1638. Over the next 150 years, more English settlements were
established.
This
period also was marked by piracy, indiscriminate logging, and sporadic attacks by Indians and
neighboring
Spanish settlers.

Great Britain first sent an official representative to the area in the late 18th century, but Belize was
not formally
termed the "Colony of British Honduras" until 1840. It became a crown colony in 1862. Subsequently,
several
constitutional changes were enacted to expand representative government. Full internal self-
government
under a
ministerial system was granted in January 1964. The official name of the territory was changed from
British
Honduras to Belize in June 1973, and full independence was granted on September 21, 1981.

GOVERNMENT
Belize is a parliamentary democracy based on the Westminster model and is a member of the
Commonwealth.
Queen Elizabeth II is head of state and is represented in the country by Governor General Colville N.
Young,
Sr.,
a Belizean and Belize's second governor general. The primary executive organ of government is the
cabinet,
led
by a prime minister (head of government). Cabinet ministers are members of the majority political
party in
parliament and usually hold elected seats in the National Assembly concurrently with their cabinet
positions.

The National Assembly consists of a House of Representatives and a Senate. The 31 members of the
House
are
popularly elected to a maximum 5-year term. The governor general appoints the Senate's 12
members. Six
are
appointed in accordance with the advice of the prime minister, 3 with the advice of the leader of the
opposition.
The Belize Council of Churches and the Evangelical Association of Churches, the Belize Chamber of
Commerce
and Industry and the Belize Business Bureau, and the National Trade Union Congress and the Civil
Society
Steering Committee each advise the Governor General on the appointment of one senator each. (A
majority
of
Belizeans who decided to participate in the referendum held along with the national elections on
February 7,
2008
voted in favor of a change from the current appointed Senate to an elected one. This change will take
effect
during the next general election, which is slated to take place by early 2013.) The Senate is headed
by a
president, who is a non-voting member appointed by the governing party.

Members of the independent judiciary are appointed. The judicial system includes local magistrates,
the
Supreme
Court, and the Court of Appeal. In 2001 Belize joined with most members of the Caribbean Common
Market
(CARICOM) to establish a "Caribbean Court of Justice," which was inaugurated on April 16, 2005. In
June
2010,
the Belizean Government made the Caribbean Court of Justice the highest court for Belize, replacing
the Privy
Council in London. The country is divided into six districts: Corozal, Orange Walk, Belize, Cayo, Stann
Creek,
and
Toledo.

POLITICAL CONDITIONS
In national elections on February 7, 2008, the United Democratic Party (UDP) prevailed over the
incumbent
People's United Party (PUP). The UDP won 25 of the 31 seats in the House of Representatives, while
the PUP
won the other six seats. UDP leader Dean Barrow replaced PUP leader Said Musa as Prime Minister.
The PUP
governed Belize from 1998-2008; the UDP from 1993-98; the PUP from 1989-1993; and the UDP from
1984-
89.
Before 1984, the PUP had dominated the electoral scene for more than 30 years and was the party in
power
when Belize became independent in 1981. Third-party alternatives to the two-party system have
arisen in the
recent years, but these parties garnered less than 2% of the vote in the February 2008 elections.

The UDP is responding to concerns of an unsustainable foreign debt, high unemployment, growing
involvement in
the South American drug trade, high crime rates, and increasing incidents of HIV/AIDS through a four-
pillar
approach: social investment through poverty alleviation; job creation through public sector investment;
improving
access to credit; and combating crime and violence. As of March 2011, Belize’s total national debt
(both
external
and domestic) was U.S. $1.0156 billion, an amount equivalent to approximately 75.3% of GDP. On
January 31,
2007 the Government of Belize officially announced that the holders of Belize's public external
commercial
debt
had agreed to exchange their existing claims against the country for new bonds to be issued by Belize,
maturing
in 2029.

Belize traditionally maintains a deep interest in the environment and sustainable development. In
August 2001,
the governments of the U.S. and Belize, in conjunction with The Nature Conservancy, announced a
debt-for-
nature swap under the Tropical Forest Conservation Act. The $5.5 million in appropriated funds were
combined
with $1.3 million in private funds raised by The Nature Conservancy to reduce Belize’s official debt to
the U.S.
by
half. Under the agreement, the Government of Belize issued obligations to generate approximately $9
million
in
local currency payments to help a consortium of four local non-governmental organizations (NGOs)
administer
conservation activities in protected areas. On other fronts, the government is working to improve its
law
enforcement capabilities. A longstanding territorial dispute with Guatemala continues, although
cooperation
between the two countries has increased in recent years across a wide spectrum of common interests,
including
trade and environment. Seeing itself as a bridge, Belize is actively involved with the Caribbean
nations of
CARICOM, works with its Central American neighbors as a member of SICA (Central American
Integration
System), and participates in the Organization of American States.

Principal Government Officials
Head of State--Queen Elizabeth II
Governor General--Colville N. Young, Sr.
Prime Minister and Minister of Finance--Dean Barrow
Deputy Prime Minister and Minister of Natural Resources and the Environment--Gaspar Vega
Minister of Economic Development, Commerce, Industry and Consumer Protection--Erwin Contreras
Minister of Foreign Affairs and Foreign Trade--Wilfred Elrington
Minister of Defense--Carlos Perdomo
Minister of Police--Douglas Singh
Minister of Tourism and Civil Aviation--Manuel Heredia
Minister of Housing and Urban Development--Michael Finnegan
Minister of Education--Patrick Faber
Minister of Emergency Management, Transport and Communications--Melvin Hulse

Ambassador to the United States--Nestor Mendez
Ambassador to the OAS--Nestor Mendez
Ambassador to the United Nations--Janine Coye-Felson

Belize maintains an embassy in the United States at 2535 Massachusetts Avenue NW, Washington,
DC 20008
(tel: 202-332-9636; fax: 202-332-6888; website: http://www.embassyofbelize.org/) and a consulate in
Los
Angeles.
Belize travel information office in New York City: 800-624-0686.

ECONOMY
Forestry was the only economic activity of any consequence in Belize until well into the 20th century,
when the
supply of accessible timber began to dwindle. Cane sugar then became the principal export. Exports
were
augmented by expanded production of citrus, bananas, seafood, and apparel. The agricultural sector
suffered
from damage caused by hurricanes that struck Belize in late 2007 and late 2010 and heavy flooding
in mid-
June
and October of 2008. The farmed shrimp industry, a chief export earner until 2005, continues to
decline.
Belize was adversely impacted by the global downturn in 2009, but the economy recovered modestly
in 2010.
GDP growth reached 2.0% during 2010, supported by government services and commerce. However,
Belize's
economic performance is highly susceptible to external market changes. Tourism is Beilze’s number
one
foreign
exchange earner, followed by exports of crude oil, marine products, citrus, sugar, bananas, and
garments.
Because of the uncertain future of these traditional exports, efforts are being made toward agricultural
diversification. Agriculture currently provides some 71% of the country's total foreign exchange
earnings and
employs approximately 29% of the total labor force.

Although about 1,998,230 acres (or 38% of the total land area) are considered potentially suitable for
agricultural
use, only approximately 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, increasing numbers of farmers
are
making
permanent use of cleared land by mechanical means. A tax is levied on the unimproved "value" of the
land. To
curb land speculation, the government enacted legislation in 1973 that requires non-Belizeans to
complete a
development plan on land they purchase before obtaining title to plots of more than 10 acres of rural
land or
more
than one-half acre of urban land.
Domestic industry is limited, constrained by relatively high-cost labor and energy and a small
domestic market.
Some 185 U.S. companies have operations in Belize. Tourism attracts the most foreign direct
investment,
although U.S. investment also is found in the telecommunications and agricultural sectors.
A combination of natural factors--climate, the longest barrier reef in the Western Hemisphere,
numerous
islands,
excellent fishing, safe waters for boating, jungle wildlife, and Mayan ruins--support the thriving tourist
industry.
The Government of Belize has designated tourism as one of its major development priorities.

Belize’s banking system reported a surge in nonperforming loans (NPLs) in 2010, equivalent to 16.1%
of total
loans by the end of 2010, although by mid-2011 the number had declined slightly to 15.2%. While
banks
comply
with current regulations, provisioning remains low by international standards, covering less than 16%
of NPLs.
The increase in NPLs has been largely concentrated in three banks (two domestic banks and one
offshore),
which account for over 40% of deposits in the banking system.
Belize's investment policy is codified in the Belize Investment Guide, which sets out the development
priorities
for
the country. A Country Commercial Guide for Belize is available from the U.S. Embassy's
Economic/Commercial
section.

Infrastructure
A major constraint on the economic development of Belize continues to be the scarcity of
infrastructure
investments. As part of its financial austerity measures started in late 2004, the government froze
expenditures on
several capital projects. Although electricity, telephone, and water utilities are all relatively good,
Belize has
the
most expensive electricity in the region. Hydroelectric facilities at Vaca Dam and a bagasse
cogeneration plant
at
a sugar cane processing facility were brought fully online in 2010 in an effort to increase domestic
capacity for
electricity generation. Large tracts of land, which would be suitable for development, are inaccessible
due to
lack
of roads. Some roads, including sections of major highways, are subject to damage or closure during
the rainy
season. Ports in Belize City, Dangriga, and Big Creek handle regularly scheduled shipping from the
United
States
and the United Kingdom, although draft is limited to a maximum of 10 feet in Belize City and 15 feet in
southern
ports. American Airlines, Continental Airlines, U.S. Airways, Delta Airlines, and TACA provide
international air
service to gateways in Dallas, Houston, Miami, Charlotte, Atlanta, and San Salvador.

Trade
Belize continues to rely heavily on foreign trade. World commodity price fluctuations and preferential
trading
agreements, especially with the United States and the European Union (cane sugar) and the United
Kingdom
(bananas), have greatly impacted Belize's economic performance. European Union (EU) and U.K.
preferences
have been vital for the expansion and prosperity of the sugar and banana industries.
According to the World Trade Organization, imports for 2010 were $709 million, while exports were
$325
million.
The United States continues to be Belize's number-one trading partner. In 2010, the United States
provided
47.9% of Belizean imports and accounted for 49.1% of Belize's exports. Other major trading partners
include
Mexico, the European Union, Central America, Japan, and China. Belize aims to stimulate the growth
of
commercial agriculture through CARICOM. However, Belizean trade with the rest of the Caribbean is
small
compared to that with the United States and Europe.

NATIONAL SECURITY
In June 2010, Prime Minister Dean Barrow announced changes to his cabinet. The Ministry of National
Security
was split into the Ministry of Defense and Ministry of Police and Public Security. This included the
addition of
one
new cabinet position and the division of one ministry. The Belize Defense Force (BDF), established in
January
1973, is comprised of a light infantry force of regulars and reservists along with small air and maritime
wings.
The
BDF, currently under the command of Brigadier General Dario Tapia, assumed total defense
responsibility
from
British Forces Belize (BFB) on January 1, 1994. In late 2010, the British Ministry of Defense
announced plans
to
reduce its presence in Belize as part of cost-saving measures and reduced its troops from 70 soldiers
to a
skeleton staff of fewer than 10 soldiers. The BDF receives military assistance from the United States.

FOREIGN RELATIONS
Belize's principal external concern has been the dispute involving the Guatemalan claim to Belizean
territory.
This
dispute originated in Imperial Spain's claim to all "New World" territories west of the line established in
the
Treaty
of Tordesillas in 1494. Nineteenth-century efforts to resolve the problems led to later differences over
interpretation and implementation of an 1859 treaty intended to establish the boundaries between
Guatemala
and
Belize, then named British Honduras. Guatemala contends that the 1859 treaty is void because the
British
failed
to comply with all its economic assistance clauses. Neither Spain nor Guatemala ever exercised
effective
sovereignty over the area.
Negotiations have been underway for many years, including one period in the 1960s in which the U.S.
Government sought unsuccessfully to mediate. A 1981 trilateral (Belize, Guatemala, and the United
Kingdom)
"Heads of Agreement" was not implemented due to continued contentions. Belize became
independent on
September 21, 1981, with the territorial dispute unresolved. Significant negotiations between Belize
and
Guatemala, with the United Kingdom as an observer, resumed in 1988. Guatemala recognized Belize's
independence in 1991, and diplomatic relations were established.
Eventually, on November 8, 2000, the two parties agreed to respect an "adjacency zone" extending
one
kilometer
east and west from the border. Around this time, the Government of Guatemala insisted that the
territorial
claim
was a legal one and that the only possibility for a resolution was to submit the case to the
International Court
of
Justice (ICJ). However, the Government of Belize felt that taking the case to the ICJ or to arbitration
represented
an unnecessary expenditure of time and money. So the Belizean Government proposed an alternate
process,
one under the auspices of the Organization of American States (OAS).

Since then, despite efforts by the OAS to jumpstart the process, movement has been limited to
confidence-
building measures between the parties. In November 2007, the Secretary General of the OAS
recommended
that
the dispute be referred to the ICJ. Currently Belize and Guatemala are preparing for a referendum, to
be held
simultaneously in both countries, on whether this dispute will move forward to the ICJ. The
referendum is
expected
to occur no sooner than 2013.
In order to strengthen its potential for economic and political development, Belize has sought to build
closer
ties
with the Spanish-speaking countries of Central America to complement its historical ties to the English-
speaking
Caribbean states. In 2005 Belize joined other Central American countries participating in the
Cooperating
Nations
Information Exchange System (CNIES), which assists in locating, identifying, tracking, and intercepting
civil
aircraft
in Belize's airspace. Belize and other Central American countries signed the Conjunta Centroamerica-
USA
(CONCAUSA) agreement on regional sustainable development. Belize held the presidency of the
Central
American Integration System (SICA) for a 6-month period in 2010. Belize is a member of CARICOM,
which was
founded in 1973, and held the chairmanship of CARICOM for a 6-month period in 2008. Belize
became an
OAS
member in 1990.

U.S.-BELIZEAN RELATIONS
The United States and Belize traditionally have had close and cordial relations. The United States is
Belize's
principal trading partner and major source of investment funds. It is also home to the largest Belizean
community
outside Belize, estimated to be over 100,000. Belize's economic growth and accompanying
democratic political
stability are important U.S. objectives.
The U.S. military has a diverse and growing assistance program in Belize that has included the
construction
and
renovation of several schools and youth hotels, medical assistance programs, and drug reduction
programs.
The
U.S. Military Liaison Office (MLO), in conjunction with the Belize Defense Force, also worked to
establish the
Belize National Coast Guard. The U.S. Agency for International Development (USAID) closed its Belize
office in
August 1996 after a 13-year program during which USAID provided $110 million worth of development
assistance
to Belize. Belize still benefits from USAID regional programs. In addition, during the past 42 years,
almost
2,000
Peace Corps volunteers have served in Belize. As of October 2011, the Peace Corps had 65
volunteers
working
in Belize.
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