Belize Introduces Moveable Property Secured Transactions Law and Launches Collateral Registry

Press Release – Belmopan, Belize 2024 – The Financial Services Commission of Belize (FSC) announces a landmark step towards financial inclusion and economic growth with the enactment of the Moveable Property Secured Transactions Legislation (Act No. 21 of 2024). Effective November 25, 2024, under Statutory Instrument (S.I.) No. 150 of 2024, this legislation modernises Belize’s financial landscape by enabling movable assets to be used as collateral for loans and establishing the Secured Transactions and Collateral Registry (STCR).
Legislative Highlights
The Moveable Property Secured Transactions Act introduces:
• Consistency and Certainty: Streamlined legal provisions for secured financing involving movable assets.
• Enhanced Credit Access: Legal recognition of movable assets as collateral, increasing financial opportunities for individuals and businesses.
• Sustainability and Modernisation: A comprehensive for the operationalization of the Collateral Security Registry.
Amendments to the Bill of Sale Act, Cap. 246, align existing regulations with the new framework, replacing the registration of movable collateral under the Bill of Sale Act with registration under the new law.
Empowering MSMEs and Individuals
This initiative unlocks the economic potential of movable assets such as inventory, equipment, and livestock, offering a lifeline to micro, small, and medium enterprises (MSMEs) and individuals without access to fixed-asset collateral like real estate. The expected outcomes include:
• Greater Financial Inclusion: Enabling diverse economic actors to access credit.
• Economic Growth: Spurring innovation and expansion across sectors.
Launch Event
The STCR was officially launched at BELTRAIDE’s 7th Edition of EntreCon. Speaking at the event:
Mrs. Narda Garcia, Chief Executive Officer in the Office of the Prime Minister, highlighted the importance of the STCR in empowering businesses and commended the visionary leadership of the FSC and BCCAR.
Hon. Cordel Hyde, Deputy Prime Minister of Belize, underscored the STCR’s transformative impact on Belize’s financial ecosystem and its role in fostering sustainable growth.
Key Features of the STCR
1. Searchability and Transparency: An electronic registry allows lenders and borrowers to record and search for security interests, building trust in financial transactions.
2. Legal Certainty and Efficiency: A clear, equitable process for borrowers and creditors, reduces risk and ensures fair practices.
3. Economic Empowerment: Aligned with national sustainability goals, the registry promotes lending to MSMEs and individuals, driving job creation and economic resilience.
Mr. Claude Haylock, Director General of the FSC, remarked, “This historic legislation and registry mark a milestone in Belize’s journey towards financial inclusivity and economic modernisation. The STCR embodies our commitment to creating opportunities for all Belizeans.”