Honduras Economy News

Honduras's central bank raised its forecast for family remittances to grow 7% in 2026 (to $13.16 billion) and maintained a 3–4% economic growth outlook, though inflation and currency depreciation continue to pressure household purchasing power.

A 10% US tariff on Honduran imports expires July 24, and while an economist says he hopes the United States will lift the duties to strengthen trade relations, he warns that the Trump administration may pursue new protectionist measures that could raise consumer prices.

The Central Bank of Honduras is updating and relaxing the deadlines for exporters to bring foreign-currency earnings back into the country, aiming to simplify operations for the export sector.

The Central Bank of Honduras says the country's macroeconomic conditions remain positive despite a complex international environment.

Honduras's state housing bank Banhprovi has only 300 million lempiras (about $12 million) available for first-tier lending and zero fresh funds for second-tier lending, constraining mortgage credit for families and limiting construction projects amid an estimated 1.6 million housing deficit.

The director of Honduras's petroleum distributors association warns that fuel prices are expected to rise next week and recommends Hondurans reactivate conservation measures, citing volatile international market conditions.

The government announced imports of beans from Brazil, Nicaragua, and Paraguay to prevent shortages affecting 1.7 million people facing food insecurity, but an agricultural anthropologist warns the strategy undermines local farmers and discourages domestic production.

Gasoline, diesel, and kerosene prices increased across Honduras starting July 20, with sector officials attributing the hikes to Middle East instability affecting global oil supplies and urging consumers to adopt fuel-saving measures.

Anthropologist Mario Ardón argues that Honduras should invest in 10–30 year agricultural policy leveraging the country's diverse microclimates and hillside farming, rather than importing beans and grains, to address food insecurity affecting roughly 1.7 million Hondurans.

The government's Social Development Ministry has allocated an average of 92 million lempiras (about $3.7 million) in food assistance to vulnerable communities nationwide, with continued distribution this week in the drought-prone Dry Corridor region.

Economist Ismael Zepeda warns that each cent of lempira depreciation against the dollar directly raises costs for food, fuel, and services; the currency has weakened 1.5% in the first half of 2026, nearing 27 lempiras per dollar.

The Agriculture Ministry called together the National Dairy Commission to review milk-sector conditions, price trends, and develop joint strategies between producers and industry to ensure steady national milk supply.

Honduras's financial-intermediation sector grew 11.9% through May 2026, driven by increased lending to services, agriculture, manufacturing, construction, and consumer spending, boosting bank interest and commission income.

Honduras's IMAE economic index rose 3.3% in the first five months of 2026, driven by credit expansion and rising demand for some agricultural goods, despite global pressure from rising input costs.

Transport union leader Wilmer Cálix said the government must pay a pending compensation bonus to keep urban bus fares unchanged; without it, the sector will seek a fare increase to cover rising diesel and parts costs.

Economist Alex Baquis said Honduras is watching closely for any agreement with the International Monetary Fund, as decisions reached could significantly influence the country's economic direction.

Restaurants and comedores in the capital are selling tortillas for up to L2 (about $0.08) per unit, double the regulated maximum price of L1, while tortilla factories say they sell to retailers at L0.67, leaving consumer-protection authorities to enforce compliance.

Cohpetrol warns that escalating military tensions between the United States and Iran, combined with threats to close the Red Sea strait and disruptions at the Strait of Hormuz, could sustain upward pressure on international oil prices and keep Honduras's fuel costs elevated.

At Tegucigalpa's Farmers and Artisans Fair this weekend, three basic-basket staples posted price increases while ten items saw price cuts.

Honduras's trade deficit in goods reached $2.98 billion through May 2026, up 12.8% year-over-year, driven by rising imports and a decline in maquila (assembly-for-export) trade.

Honduras's general-merchandise imports increased by $660 million, driven mainly by higher purchases of fuel, transport equipment, and industrial supplies that accounted for $629.6 million of the gain.

Honduras's merchandise exports reached $3.8 billion in May 2026, up 12% year-over-year, driven by higher volumes of coffee, recycled products, and bananas.

Honduras's agricultural sector expanded 4.5%, driven by increased coffee, banana, fruit, and palm oil production, while fishing grew on higher shrimp and tilapia exports.

Transport union leader Wilmer Cálix says the government owes the sector L200 million (about $8 million) in compensatory bonuses—four months in San Pedro Sula and three in Tegucigalpa—and warned that without payment, drivers will need to work with authorities on operational changes to avoid service disruptions amid rising fuel costs.

The Central Bank of Honduras auctioned $84.4 million in US dollars on July 17, setting a weighted average exchange rate of L26.7657 per dollar for July 18–20.

Honduras imported 12.3 million barrels of fuel through May 2026, with fuel distributors accounting for 74.8%, thermal power generators for 14.1%, and other importers for the remainder.

Diesel and kerosene prices rose 47.8% and 41.5% respectively from January through May 2026 compared to the same period last year, though both fuels declined month-over-month in May.

Honduras's average fuel-import cost reached $133.53 per barrel in May 2026, up 2.9% from April but marking a slowdown from the steep gains in March and April.

At Roatán's Kennedy neighborhood market, cassava, potatoes, and chayote squash all rose in price, as did soap and detergent, even as egg cartons held steady at 98 lempiras (about $4).

Honduras's Energy Ministry announced new fuel prices effective July 20, with kerosene and diesel rising by about L1.29–L1.37 per gallon while vehicle LPG falls slightly and domestic LPG and regular gasoline stay frozen under temporary subsidies.