Honduras Economy News

Economist Amparo Canales says the lempira has depreciated 1.69% against the US dollar so far in 2026, raising import costs for fuel, medicines, and production inputs and potentially pushing consumer prices higher.

The Energy Ministry announced increases in premium gasoline, regular gasoline, diesel, and kerosene effective August 17, with diesel seeing the largest jump, while domestic cooking gas holds steady and vehicular LPG will fall slightly.

Honduras's official cost-of-living measure now includes 405 items—housing, utilities, transportation, healthcare, and digital services—reflecting the true expenses Honduran families face beyond groceries.

State power utility ENEE accumulated a L11.2 billion (about $450 million) deficit in the first seven months of 2026, with energy theft and illegal connections accounting for roughly 75% of losses, according to a civil-society analysis presented to energy regulators and Congress.

The European Union is requiring Honduran palm-oil producers to prove via geolocation tracking and environmental compliance that their crops come from non-deforested areas to maintain and expand access to European markets under new EU regulations taking effect later this year.

Anabel Gallardo, president of Honduras's business council (Cohep), warned that chronic electricity shortages and lack of legal certainty continue to discourage foreign investment and job creation in the country.

A labor-union leader warns that 2.5 million Hondurans lack adequate food despite reported macroeconomic growth, arguing low wages and weak job prospects drive mass migration and leave the country competing with Haiti on poverty measures.

The Central Bank of Honduras auctioned $92.3 million in its daily currency offering on August 13, setting the weighted average exchange rate at L26.8230 per dollar for August 14.

The Finance Ministry has set preliminary budget allocations for government institutions as they prepare the 2027 General Budget proposal, due to Congress by September 14, with Finance Minister Emilio Hernández Hércules stressing the need to accelerate public investment execution this year.

Cohep, Honduras's main private-sector organization, rejected any involvement in a National Congress member Adolfo Ráquel's electricity-sector reform proposal, saying it has not reviewed or endorsed the initiative and will not be held responsible for its technical, legal, or financial implications.

President Nasry Asfura called on Congress to approve energy-sector reforms aimed at reducing financial losses at the state-run electricity utility ENEE.

ASJ, a civil-society organization, urges Congress to focus energy-sector reform solely on overhauling the state power utility ENEE to improve efficiency, reduce blackouts, and lower costs for poor households.

Leonardo Deras, commissioner of Honduras's electrical regulator, warns that Middle Eastern conflict pressures are likely to drive electricity costs to their highest levels of the year in the fourth quarter, as deferred rate adjustments of about 6% per trimester may no longer be sustainable.

Adalid Irías, president of a consumer-advocacy group (Defco), called on Honduras's consumer-protection office to meet with producers to identify causes of recent food-price increases, citing eggs rising 6 lempiras (about $0.24) per carton and other staples climbing 3–4 lempiras, partly attributed to drought and higher livestock-feed costs.

The European Union will provide 8 million euros (about $9.2 million) to support Honduras's electricity reforms and leverage additional energy investments, while expanding civil-society participation in its cooperation projects.

The FIFA World Cup 2026 generated an estimated L400 million (roughly $16 million) in economic activity in Honduras through increased consumer spending on tickets, apparel, restaurants, bars, and air travel to match venues.

The agricultural marketing institute reports Honduras holds 120,000 quintals (about 5,400 metric tons) of beans and 76,000 quintals (about 3,400 metric tons) of corn in strategic reserves, with new harvests expected in 20 days and a 25% discount on basic grains coming through state-run stores.

A 30-unit carton of eggs in San Pedro Sula markets has jumped to L110–L117 (about $4.40–$4.68) from L95 at year's start, marking the third price increase in 2026 and adding pressure to household food budgets.

José Castañeda, president of Honduras's small and medium enterprise federation, argues that weak domestic production and outdated economic policies—not Chinese immigrants—are the real obstacles to Honduran competitiveness, as Congress investigates the entry of approximately 13,000 Asian citizens since 2022.

Consumer-protection group Fundación Artículo 19 puts the monthly basic food basket for a five-person household at over L16,000 (about $640), far above the government's figure of roughly L8,600.

Honduras's two-month vehicle amnesty program, which waives penalties and interest on registration debt from 2025 or earlier, expires on August 25, allowing owners to settle arrears or arrange payment plans of up to 12 months without added fines.

Honduras's currency depreciated to near L27 per dollar as of early August, prompting economists to warn of pressure on import prices while the Central Bank says the decline is moderate and driven by normal supply-and-demand forces.

To ease drought-driven price pressure, the government is releasing 120,000 quintals (about 5,400 metric tons) of beans from state reserves at L18 per pound (about $0.72) through Banasupro, with a 25-pound limit per person.

Honduras's part-time employment law, which promised to generate opportunities since March 2026, has produced only 206 contracts across 43 companies, while restaurants and small businesses across the country announce closures, blamed partly on rising electricity costs.

Christian Duarte, a former Finance Ministry official, linked budget cuts by the Asfura administration to a food crisis affecting 1.8 million Hondurans, citing reductions in agricultural programs, forestry protection, farm credit, and water infrastructure.

Liberal and National Party lawmakers said they are close to agreement on energy reforms to modernize the electric system and rescue the troubled state utility ENEE, with key protections for public assets including hydroelectric dams.

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.

Honduras's electric regulator (CREE) published a comparative analysis of the electric-sector reform bill showing how negotiations between the President, Congress, and the Liberal Party shifted the final version approved on August 12, with added restrictions on state utility ENEE.

Lawmakers remain divided on proposed reforms to Honduras's state electric utility, with some demanding modifications or deletions to specific articles and disagreement over whether modernization requires privatization.

Honduran farmers are preparing to sell approximately 600,000 quintals (about 27,000 metric tons) of red beans from the first harvest cycle, which officials say has been delayed by late rains and variable weather.