Belize signs modified MCC Compact

By William Ysaguirre (Freelance Writer)

BELIZE CITY, Thurs. July 2, 2026

   Millennium Challenge Corporation (MCC) first approved a US$10 million grant for Belize in 2022, focusing on investment in Belize’s education and energy sectors, with 80 percent going to education and 20 percent for energy development. By July 2024, the MCC Board of Directors had approved a 5-year US$125 million grant for Belize, retaining the 80-20 percent split between the top priority – education and energy.

   While the MCC grant may have seemed to be “gone with the wind” when newly elected President Trump froze all U.S. foreign aid, the MCC USD$125 million grant is back on track, coinciding with the U.S. 250th anniversary of independence and Belize’s 45th year of nationhood. On Wednesday, July 1, in Belmopan, the Government of Belize signed a revised Belize Compact, in which USD$20 million has been diverted from education to investment in energy, in line with the needs of Belize’s fast-growing economy, and which will enter into force later this year.

   Prime Minister Hon. John Briceño highlighted the agreement’s significance: “A Belize investing in its people, strengthening its competitiveness, building our economy where every Belizean has the opportunity to succeed! That is the future that this Compact supports, and that is the future we are determined to build together.”

   The revised Compact addresses the country’s need for a more skilled workforce and the cheaper energy to grow the Belizean economy. The reallocation of US$20 million from the Education Project to the Energy Project reflects the United States Government’s foreign assistance review. The USD$20 million will support investment in energy infrastructure, such as a new 69-kilovolt submarine cable to Ambergris Caye, to strengthen the national transmission network and meet the increased demand of tourism development on the island. Part of the MCC grant will be used to refine the Belize Energy Act, to strengthen and modernize Belize’s energy policy and regulatory framework. The Belize Compact is expected to reduce the wholesale cost of electricity.

   The Education Project will focus on transforming teaching and learning in secondary education and strengthening technical and vocational education and training systems, to improve learning outcomes and work force readiness.

   The Government of Belize will contribute more to both the Education and Energy Projects, increasing its investment in the energy sector to US$38 million, and continued support for digital learning devices for students, to ensure that key objectives are achieved. The Government of Belize has created the Millennium Challenge Account (MCA) – Belize, with Marcia Bouloy PhD as executive director, to put the agreement into action.

   Chief executive officer Carlos Pol, of the Ministry of Economic Transformation, signed the modified Compact modifications on behalf of the Government of Belize. Minister of State for Economic Transformation, Hon. Osmond Martinez PhD; Financial Secretary Joseph Waight; and U.S. Chargé d’Affaires Katharine Beamer all witnessed the event, along with Chief Executive Officer Dian Maheia of the Ministry of Education, and Chief Executive Officer Leroy Almendarez PhD of the Ministry of Public Utilities, Energy and Logistics.