Belize’s Path to a Nature-Positive Future: Integrating Natural Capital into Policy and Finance

In a world increasingly recognizing the intrinsic value of nature, Belize stands out as a pioneer. The Central American nation is redefining prosperity by embedding natural capital into its national economic and financial decision-making. With the ocean deeply intertwined with its culture, livelihoods, and identity, Belize is proving that economic growth and ecosystem conservation can thrive together.

At the forefront of this transformation is the Ministry of Blue Economy and Marine Conservation of Belize, which – supported by the Inter-American Development Bank (IDB), Stanford University’s Natural Capital Project (NatCap) and the Global Environment Facility (GEF) – has developed innovative frameworks, dashboards and surveys linking nature finance with socio-economic outcomes.

A new report, Monitoring Progress Toward a Prosperous, Sustainable Future: Belize, details how these tools are helping Belize integrate natural capital into its development and finance frameworks as part of its ambitious Blue Economy strategy.

Nature as the Foundation for Prosperity

Belize recognizes that its natural assets are central to its economy and resilience. Its marine and coastal ecosystems—including coral reefs, seagrass meadows, and mangroves—form part of the largest barrier reef in the Western Hemisphere, supporting food security, small-scale fisheries, and a tourism industry that accounts for over 40% of GDP and employment.

Yet, these vital ecosystems face mounting pressures: rising sea levels, coral bleaching, intensifying storms, unsustainable fishing, coastal development, agricultural runoff, untreated wastewater, and plastic pollution. To address these challenges, Belize is advancing a bold blue economy strategy to protect biodiversity while promoting inclusive, climate-resilient growth.

Turning Vision into Action

In 2023, a multidisciplinary team – including the Blue Bond Finance Permanent Unit within the Office of the Prime Minister, the Ministry of Economic Transformation, WWF-Belize, the IDB, and researchers from NatCap – joined forces to operationalize Belize’s vision. The goal: to equip national and local leaders with data-driven tools to quantify, track, and report the multiple benefits of blue natural capital.

The collaboration produced three key outputs:

1. A Framework for Social and Environmental KPIs. The pilot was to identify a subset of linked people- and nature-focused KPIs to demonstrate how ecological and social outcomes can guide policy and financial decision-making. These indicators align with Belize’s Blue Bond and Resilient Bold Belize commitments, as well as national policy instruments such as the Integrated Coastal Zone Management Plan and the Belize Sustainable Ocean Plan. (For more details on the selected KPIs, see Appendix 1 in the full report)
   
2. A Blue Economy Jobs Monitoring Survey. The team proposed a novel science-based monitoring tool focused on livelihoods dependent on blue natural capital. This survey is being deployed across 17 coastal communities and aims to establish a baseline, track changes in social KPIs related to these livelihoods. It captures data on fisheries, tourism, seaweed cultivation, small businesses, and environmental monitoring—providing insights into gender equity, employment patterns, and economic resilience, helping policymakers design more inclusive blue economy initiatives.
   
3. Model design for a Centralized Dashboard of KPIs.  The model involves designing both the data input sources and the consumers of data output. It integrates cross-sectoral information to support various government agencies in tracking progress toward Blue Economy goals and implementing results-based financing strategies. When automated, the dashboard will allow monitoring of the KPIs and data workflows and support evidence-based decision-making.

The IDB and NatCap are also supporting Belize’s government by working on capacity development and data-sharing protocols to ensure that local institutions can use the KPIs and the survey effectively and can then effectively put a robust MRV system (based on the dashboard) into practice.

Lessons Learned and Impacts

Belize’s experience offers valuable lessons for other countries seeking to align biodiversity and ecosystem services with national economic strategies and finance plans. Some of the key insights are:

• Leadership at the highest level with long-term vision is key. The success of this pilot underscores the importance of sustained government commitment to integrating natural capital into decision-making. The Blue Bond Office, which was the main counterpart and convening agency, is in the Office of the Prime Minister. This definitely made a difference in legitimizing the efforts and was key to advancing towards policy coherence and national ownership of the Blue Economy agenda.
  
• Partnerships that Bridge Science, Policy, and Finance. Strategic partnerships—combining the technical expertise of Stanford University’s Natural Capital Project, the policy influence of the Ministry of Blue Economy and Marine Conservation, and the financial backing of the IDB and GEF—proved essential to move from theory to implementation. This model demonstrates how multi-stakeholder collaboration can accelerate progress.
  
• Measuring What Matters. By integrating social indicators into its marine sustainable use monitoring systems, Belize is ensuring that blue economy investments translate into real benefits for coastal communities. This inclusive approach positions the country as a global leader in equitable ocean governance. This pilot also now serves as a model for other countries seeking to develop KPI monitoring systems for their blue economies and to demonstrate progress under results-based finance mechanisms.
  
• From Data to Policy Action. The KPI framework developed through this pilot will inform updates to Belize’s Integrated Coastal Zone Management Plan and Belize Sustainable Ocean Plan, both of which are linked to the country’s Blue Bond commitments. These tools are enabling evidence-based decision-making and helping the government track progress toward sustainability goals.

Mainstreaming Biodiversity Through Natural Capital Approaches

The Belize pilot is part of a broader regional technical cooperation funded by the GEF, implemented by the IDB, and led with the scientific expertise of Stanford’s Natural Capital Project. This initiative helps countries identify, value, and integrate their natural capital into policy and investment decisions.

Pilots in Belize, Chile, Colombia, Ecuador, and Uruguay are producing:

• A standardized framework with training materials
• Customizable tools to scale up Natural Capital Assessment and Accounting; and
• Case studies with examples for integrating ecosystem service values into national accounting, MRV systems, public budgets, policy development, and investment plans.

This Belize pilot is also part of the People, Planet, Prosperity (3Ps) project, through which NatCap collaborates with the IDB, ADB, and the World Bank to scale natural capital approaches across 16 countries.

Download the full report here and download the case study here

Learn more about the GEF here and the Natural Capital Project here