Drought Relief

Honduras's banking regulator approved temporary relief measures for over 40,000 agricultural debtors affected by El Niño drought, including loan restructuring, grace periods, reduced interest rates, and waived penalties, with applications due by February 28, 2027.

President Tomás Zambrano of the National Congress announced the executive branch has submitted the 2027 budget of approximately 455.4 billion lempiras (about $18.2 billion), emphasizing drought relief, water infrastructure, and security as priorities and setting an expected approval vote for mid-December.

Honduras has pre-approved access to $40 million in grants and loans from the Green Climate Fund to address a severe drought affecting 75 municipalities, but bureaucratic delays and lack of government coordination have prevented the funds from being deployed.

Honduras's disaster agency Copeco has begun delivering food packages valued at 4,000 lempiras (about $160) each, plus medicines, to drought-stricken municipalities in Choluteca and El Paraíso, backed by a 300-million-lempira (about $12 million) budget, with cash transfers planned for up to 15 of the 75 municipalities identified as most severely affected.

Honduras's Finance Ministry is releasing over 1.1 billion lempiras (about $44 million) in advance municipal transfers to 75 drought-affected towns to fund emergency food security and aid to families hit hardest by the extended dry season.

The United Nations Food and Agriculture Organization will invest $2.15 million to strengthen food security for 4,000 families in Choluteca, Valle, and Comayagua affected by drought and climate variability through cash transfers, agricultural kits, irrigation systems, and grain-bank support.

A tropical wave will break dry conditions across Honduras on Wednesday with scattered to moderate showers, heavier rainfall expected in the south, southwest, center, and east, while capital-area reservoirs continue declining despite the incoming moisture.

Copeco forecasts rain and scattered showers nationwide on Tuesday from tropical remnants, with heaviest rainfall and thunderstorms expected in western Honduras, offering relief to drought-stricken agricultural areas.

Honduras's National Center for Atmospheric Studies forecasts two tropical waves crossing the country Wednesday and Saturday, with heavy rainfall expected in the western, central, and eastern regions, potentially relieving drought conditions affecting water supplies.