INTER-AMERICAN DEVELOPMENT BANK APPROVES LOAN FOR MINISTRY OF AGRICULTURE

November 06, 2009

The Inter-American Development Bank has approved a five million dollar loan for the Agriculture Department. The loan was given to promote Belize’s agricultural innovation and animal and plant health protection to boost competitiveness, stimulate growth and expand market access for its products. Belize has depended on traditional commodities such as sugar, citrus and bananas but all three industries are experiencing difficulties from citrus greening to the lack of agricultural innovation. These industries account for 75 percent of farm exports yet output per hectare is well below regional levels. In an attempt to remedy the situation the government launched a National Export Strategy in 2008 to promote increase market and production diversification, focusing on continued expansion of non-traditional products. The loan will assist the government in this effort by funding projects such as tilapia, papaya, shrimp and processed goods such as hot sauce. The loan is for a 25 year term, with a five year grace period and carries a labour based interest rate. The government will provide 500 thousand dollars in counterpart funding.

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