Belize to expand rural electricity access with IDB financing

The Board of Executive Directors of the Inter-American Development Bank (IDB) has approved a US$23.75 million financing package to expand electricity access for rural populations in Belize. The initiative aims to improve quality of life and economic opportunities in underserved areas, according to a press release. The approval was announced from Washington on September 17, 2026. It represents the IDB’s first energy sector operation in the country. The program specifically targets communities with a high proportion of Indigenous peoples and migrants.

The financing package combines several instruments drawn from different IDB facilities. It includes a US$20 million Global Multiple Works (GOM) loan from the Bank’s Ordinary Capital. A US$2.75 million nonreimbursable investment grant is provided through the Bank’s Nonreimbursable Financing Facility. An additional US$1 million nonreimbursable grant comes from the Bank’s Low Carbon Energy Fund. Together, these resources support a coordinated approach to rural electrification.

The program will increase household access to electricity services in rural communities and strengthen technical and institutional capacity. Authorities will be supported in planning, operating, and maintaining rural electrification investments. The initiative will also promote awareness of productive uses of electricity in rural areas. Approximately 3,000 rural households will benefit directly by gaining access to electricity for the first time. The wider Belizean population will benefit from improved planning, implementation, and sustainability of electricity services.

The program will finance the design, construction, and installation of solar photovoltaic mini-grids. These systems will be equipped with battery energy storage systems and smart metering technologies. It will also expand the distribution network to connect households and community facilities. Karla González, IDB Country Representative for Belize, highlighted the significance of the operation.

“This is the IDB’s first energy sector operation in Belize. By advancing rural electrification, economic inclusion, and access to essential services, this program represents a major step toward a more sustainable and inclusive Belize,” she said.

The financing terms reflect the long-term nature of the investment. The US$20 million loan has a 25-year repayment term. It carries a 5.5-year grace period. The interest rate is based on SOFR. The overall package positions Belize to link new users to the electricity grid through targeted infrastructure and institutional support.