Browse Honduras Daily Stories

Honduras's central bank allocated $90.8 million in its July 20 foreign-exchange auction, setting the weighted average exchange rate at L26.7638 per dollar for July 21.

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.

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.

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.

Juliette Handal, president of the Patriotic and Solidarity Coalition, called on the government to meet with business sectors to prevent them from raising prices in response to fuel-cost pressures.

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.

Labor leader Hilario Espinoza said inspectors are distributed nationwide to verify employers are paying the legal minimum wage, though he acknowledged enforcement challenges and noted inflation has risen to 6%, approaching the 7% threshold that would trigger wage renegotiation.

Family remittances to Honduras reached $6.59 billion in the first half of 2026, a 11.9% jump from the same period last year and above the Central Bank's projected 3.5% growth; if the trend holds, annual remittances may exceed $13.5 billion.

The head of Honduras's transit authority said if fuel prices continue declining, the agency will review taxi fares to determine possible rate reductions for passengers.

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.

Coffee grower Fredy Pastrana warns that Honduras's coffee industry is losing production due to a shortage of pickers, exacerbated by poor road conditions and lack of basic services in coffee-growing areas, and calls for policies to make farm work more attractive.