Belize GDP Rises 0.8%; Services Slip

Belize’s economy grew modestly in the second quarter of 2025, expanding by 0.8 percent to $1.375 billion; however, gains in agriculture and manufacturing masked contractions in trade, tourism, and government spending.

According to the Statistical Institute of Belize, growth was driven by a resurgence in the goods-producing sectors. Primary activities surged by 10.9 percent, reaching $126.1 million, led by strong rebounds in bananas, sugarcane, and citrus. Banana production rose by 20.4 percent to 28.5 thousand metric tons, while sugarcane deliveries jumped nearly 20 percent to 881.7 thousand metric tons as harvest delays from the first quarter were cleared. Citrus output more than doubled to 10.4 thousand metric tons, reflecting the maturing of disease-resistant groves. Livestock also advanced by 9.9 percent, with higher outputs of cattle, pigs, and poultry, while marine exports edged up 1.7 percent on the back of strong shrimp sales.

The secondary sector recorded 6.8 percent growth, climbing to $221.9 million. Manufacturing activity was buoyed by a 46.2 percent rise in citrus concentrate, an 11.8 percent increase in sugar production, and a 14.5 percent expansion in beverages, including soft drinks, beer, and rum. Construction grew by 10.8 percent, supported by higher imports of building materials. Not all industries advanced, however, as electricity generation fell by 12.9 percent and water output dipped slightly by 1.1 percent.

By contrast, the services sector contracted for the first time since early 2021. Tertiary activities declined 1.4 percent to $856.9 million. Wholesale and retail trade dropped 5 percent, in line with a 10.9 percent reduction in imports. Accommodation and food services slipped 0.4 percent as overnight tourist arrivals fell by 2.2 percent to 133.9 thousand visitors. Cruise arrivals offered some relief, climbing 6.7 percent to 150.9 thousand passengers. Public administration and defence fell 2.8 percent due to lower government spending, while transport services contracted by 4.4 percent, reflecting reduced passenger flows.

Taxes on products also weakened, declining by 2.2 percent from $174 million to $170.3 million.

Looking back at 2024, the economy expanded by 3.5 percent to $5.257 billion, with the strongest momentum coming from services. That expansion was broad-based, but the second quarter of 2025 reveals a more uneven picture, with the goods-producing industries carrying growth while services softened.