## Reinvigorating Growth in Belize

_IMF Working Papers, February 4, 2019_

## Source details

**Canonical URL:** [Reinvigorating Growth in Belize](https://www.imf.org/en/publications/wp/issues/2019/02/04/reinvigorating-growth-in-belize-46496)

## Other formats

- [Markdown version](/en/publications/wp/issues/2019/02/04/reinvigorating-growth-in-belize-46496/index.md)
- [Structured JSON version](/en/publications/wp/issues/2019/02/04/reinvigorating-growth-in-belize-46496/index.json)
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## Bibliographic details
- Authors: Dmitry Vasilyev
- Published: February 4, 2019
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781484392188.001

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### Summary
- In the 1990s and early 2000s, Belize grew faster than its regional peers. By the mid-2000s, however, economic growth had slowed down to the regional average.
- A vicious circle of low growth and increasing public debt has been clouding Belize’s outlook.
- This paper applies a growth diagnostic approach based on the Hausmann-Rodrik-Velasco framework to investigate the main growth constraints and opportunities for higher growth in Belize.
- Improvements in access to finance and in the business climate could unlock Belize’s strengths.

### Main findings and analytical focus
- Historical growth pattern:
  - Faster growth than regional peers in the 1990s and early 2000s.
  - Slowdown to regional average by the mid-2000s.
- Growth constraints identified via the Hausmann-Rodrik-Velasco growth diagnostic framework:
  - Low access to finance.
  - Weak business climate.
  - A reinforcing interaction between low growth and increasing public debt.
- Potential opportunities:
  - Addressing access to finance.
  - Improving the business climate to leverage Belize’s comparative strengths.

### Policy recommendations and implications
- Prioritize reforms to improve access to finance for firms and entrepreneurs.
- Implement measures to strengthen the business climate to facilitate private-sector activity and diversification.
- Address public debt dynamics to break the vicious circle of low growth and rising debt.

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## Content in this bundle

- **Reinvigorating Growth in Belize, WP/19/24, February 2019**
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  - [Reinvigorating Growth in Belize, WP/19/24, February 2019 (PDF)](/-/media/files/publications/wp/2019/wp1924.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/wp/issues/2019/02/04/reinvigorating-growth-in-belize-46496_