Govt. seeks to deal with effects of war
With the war in Iraq unfolding on our TV screens, Belize and Belizeans can do little more than hope for the best and prepare for the worst. In the international diplomatic manoeuvring prior to the U.S. invasion, we managed to keep a low profile as the drama played out in the U.N. Security Council, a body upon which we do not currently sit. Today, in the aftermath of the bombing of Baghdad, the government has issued a low-key statement on the conflict. It reads in part:
“The Government of Belize deeply regrets the failure of diplomacy and the resort to military force to deal with the Iraqi crisis. The global effects of this war are as yet uncertain, but it could have a serious effect on all our economies…In addition to the impact of the war on the economy, there could well be serious heightened security concerns for the Belizean people.”
The release went on to detail steps taken by the government, including a special meeting of the National Security Council to assess the situation as well as increased security measures at foreign embassies and ports of entry to guard against the possibility of terrorism.
Meanwhile, the war’s most immediate effects are being felt at the gas pump. While government has not yet announced the retail prices associated with the fuel shipment that is due to arrive any time at the Belize City port, sources in the petroleum industry have told News 5 that the acquisition costs are up again: premium by ten cents a gallon, regular and kerosene by five point six cents and diesel by nine cents. These are acquisition costs, and in normal times the increases at the pump would be higher, due to the proportional addition of taxes and mark-ups. But these are not normal times, and for the last three shipments government has absorbed the higher acquisition costs by lowering its tax bite–taking a hit believed to total as much as seventy to eighty cents per gallon. It is clear that the Treasury cannot keep this up forever and the question at this point is how much of that lost ground will Belmopan need to recover. Whatever new prices are set, they will come into effect on Saturday.
