_{Photo: Prime Minister, John Briceño}

At a Special Sitting of the House of Representatives held today, legislation was passed to establish an implementing agency for grant projects in the education and energy sectors.

by Marco Lopez

BELIZE CITY, Thurs. July 11, 2024

In April of this year, the Millennium Challenge Corporation (MCC) of the United States of America concluded a formal negotiation with the Government of Belize for the establishment of the terms of a funding agreement. Today, the House of Representatives passed the legislation to formalize this agreement and begin the rollout of a grant of $250 million BZD that will be used to carry out projects in two key areas – education and energy.

Prime Minister John Briceño, during his presentation, recalled that as far back as 2021, the MCC selected Belize as an eligible partner.

The US-funded private corporation provides time-limited grants to address poverty and promote growth in countries considered financially challenged. The persistent high poverty rates and economic and climate vulnerabilities in Belize put the country in a position to benefit from this funding, called “free money” by PM Briceño.

The two program areas, as mentioned, will address education and energy shortfalls in Belize. According to PM Briceño, 80 percent of the funds will be allocated to education, while the remaining 20% will be allocated to the energy sector.

Prime Minister Briceño shared that the compact program funding will be disbursed over a 5-year period.

Education

In the education sector, the government seeks to increase the number of post-primary graduates. The project will include the establishment of an education quality assurance system to assess and improve the quality of management and teaching within the classroom.

Besides this, other project goals include capacity building for education leadership and teachers; provision of teaching and learning resources, and increased support for primary school graduates to enroll in and complete secondary education programs.

To enhance and build the capacity of the Technical and Vocational Education and Training institutions across the country, a national agency will be established.

Energy

The objective of the energy program under this MCC compact is to lower the cost of energy and reduce reliance on power from Mexico’s Comision Federal de Electricidad (CFE).

Recent power outages across the country have raised concerns and questions about Belize’s energy security. The government will support BEL and PUC to modernize the grid.

Establishment of implementing agency

As part of the grant, the government established the Millennium Challenge Account Belize Authority to serve as the implementing agency on behalf of the Government of Belize.

They are expected to sign the compact agreement in early September 2024. All of the funds associated with this grant will be directed through that authority.

PM Briceño said that, besides GoB, representatives relevant to the projects will also be included on the board of directors. This will include a representative from the Belize National Teachers Union, the Belize Chamber of Commerce and Industry, civil society organizations, and a non-voting member representative from academia. There is no seat on the board for a member of the Opposition.

Opposition on MCC grant

For his part, the Leader of the Opposition, Hon. Moses “Shyne” Barrow said that what was to be a moment in bipartisan agreement was used as an opportunity for political grandstanding by the Prime Minister.

He outlined that while the Opposition is in support of the MCC grant program and thanked the United States for the donation, he is concerned that they have no seat on the board laid out by PM Briceño in his speech.

He described the Opposition as a primary stakeholder and explained the importance of including them in the decision-making body.

Minister of Education, Hon. Francis Fonseca pointed out instead, that he believes that it is not necessary to have an Opposition member on the board.

Hon. Patrick Faber, area representative for the Collet Division, said during his comments that the United States has a clearly stated agenda to maintain its position as the world superpower, and this contribution, like other forms of aid, is a part of a larger plan to maintain that superpower status.

The Millennium Challenge Belize Account Authority Bill was passed by the Lower House and now goes to the Senate. Also, read for a third time was the National Security Council Bill.