Thus far, fuel subsidies have been provided to some players in tourism. The government has absorbed some of the fuel increases, particularly on regular and diesel and there is a subsidy in place for bakers. Dr. Philip Palacio, an economics lecturer at the University of Belize, has urged caution about subsidies because oftentimes governments have a hard time getting rid of them when their economies improve. We asked CEO Dr. Osmond Martinez if Belize’s Government should be worried about it.
Dr. Osmond Martinez, CEO, Ministry of Economic Development: “I don’t think there is a concern right now. I believe that to those who subsidies have been given out, I believe that they are very mature Belizeans and understand the dynamics of finance and economics so it’s not a concern right now.”