Belize's borders were closed exactly three months ago. It was a mitigation measure by the government and health authorities to keep the coronavirus out of Belize.
It's been a massive hit to tourism - and caught right up in that is a government statutory board, the Belize Port Authority, the lead regulators of the country's maritime affairs. A significant portion of their revenue base comes from international vessels that make port calls in Belize. Those include cruise vessels, private yachts, and cargo ships. All those activities are either scaled way back or on a complete pause until further notice.
As a result, the Port's Authority's management has had to make tough decisions to survive these lean economic times. But, the leaders of this government agency are insisting on keeping on all its employees, and without any the very painful pay cuts that other parts of the public and private sectors have had to implement.
Today, we spoke with the Ports Commissioner, who hosted the launch of an important pilot project at their Belize City headquarters. We asked how her organization is surviving the economic hardship brought on by the coronavirus.:
Merlene Bailey-Martinez - Ports Commissioner, Belize Port Authority
"In the first month alone, we lost 70% of our revenue, compared to the same period last year. It was at 30%. We're averaging about 50% for the next 2 months. So, the financial hit that we've taken is quite significant. And so, we have been engaging the management, staff, and the Christian Workers Union because we have proposed several fiscal measures to reduce for chairman and the board of directors, they would want to see full staff retention, and no cut in salaries. For them, those are objectives. So, we're taking other measures, and I must say initially - because nobody knows when this thing is going to end. So, we have taken other measures. We have suspended all capital expenditures. We have reduced our patrols to the minimum. So, we only respond to emergency situations with regard to navigation. So, basically, our other two vessels are not operational at this time. We have proposed, I should say, some other measures with respect to staff benefits, but I wouldn't want to preempt the final discussion, or the final decision, that we have yet to have with the Christian Workers Union."
"We get our funding from cargo vessels, cruise vessels, and private yachts, and licensing of local captains and vessels. So, the majority of our revenue, of course, comes from International shipping. So, if you look at the cruise industry, at peak cruise time, there was a shutdown of cruise tourism. So, you can imagine. And when we looked at the number of vessels, we did a comparison with the number of vessels. Last year, cruised vessels and private yachts calling in Belize accounted for 75% of the vessel calls. So, that only leaves cargo, which accounts for 25% of vessel calls."
The commissioner stressed that the Port Authority's management will continue to conduct periodic reviews, with the intent of making the most sustainable fiscal decisions, given that their revenues are way down.
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