Belize devalues currency amid depleting foreign reserves
In a surprise move, the government of Belize has removed all currency protections that previously kept the Belize Dollar (BZD) permanently pegged to the US dollar. Following the announcement, the Belize dollar fell sharply against the US dollar to an all-time low of 12 BZD to 1 USD, leading the Ministry of Tourism to express optimism that more foreign visitors will now be able to afford to visit Belize.
According to a senior official of the Central Bank of Belize, the uncoupling of the Belizean dollar and subsequent steep depreciation was due to a recent discovery that the Bank’s foreign reserves were far lower than had been reported. According to the senior official, who preferred to not have his name published, a paperwork “goof up” led the Central Bank of Belize to over report its foreign currency reserves by approximately 81 million dollars.
Mr. Erwin Contreras, the Minister of Economic Development, released a statement to the press declaring that his office had no involvement in the decision to decouple the currency and that “everything is going great” in the Belizean economy. Calls to Mr. Contreras’s office inquiring about recent statistics showing the Belizean economy struggling went unanswered. Minister of State Tracey Panton called the Krem FM “WUB Morning Vibes” radio show to address the issue, saying, “The Belizean economy is succeeding like a true champion. Lazy people should just quit complaining about low wages and get to work.”
On the website for the Ministry of Tourism and Culture, a news item was posted stating that the ministry “warmly welcomes this positive change as it will now make Belize actually affordable for tourists who aren’t rich Hollywood celebrities or Trump children to come and stay at all those luxury hotels which have been built over the past couple of years.” Contacted by a journalist, Tourism Minister Manuel Heredia elaborated by saying, “I, for one, welcome this weakening of the Belizean dollar. Tourists always complain things cost too d— much in Belize. Now let’s see what they have to say.”
Happy April Fool’s Day to all our BelizeHub readers! Don’t worry, the Belizean dollar has not been affected. Belize is still an amazing place to visit and lots of tourists will come and enjoy themselves this year.