Azucena Novelo, director of research for the Central Bank of Belize, shows some of the reasons behind Belize’s stable currency and steady growth.
Why we think you should read this:
Belize takes the value of its currency very seriously and has enacted several Exchange Control Regulations, administered by the Central Bank of Belize, to keep the Belizean dollar stable. That said, the Central Bank is very accommodating of foreign investors and imposes very few restrictions on inflows and outflows of foreign capital. The ultimate goal is a stable business climate.
- The Belizean dollar has been fixed to the U.S. dollar at a rate of 2 to 1 since 1976. This has contributed to Belize’s low inflation rate and stable business climate.
- Domestic inflation in Belize has averaged just 2.2% over the last two decades.
- Except for volatile short-term investments, the Central Bank of Belize imposes no restrictions on inflows of capital from legitimate sources; nor does it impose many restrictions on outflows to pay for goods and services of a current nature.