Browse Honduras Daily Stories

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.

The Honduran business council reported food and beverage inflation of 5.57% in August, citing drought conditions from El Niño and higher transport costs, while overall inflation reached 6.20% and private-sector credit grew 20% through June.

Finance Secretary Emilio Hércules presented the 2027 budget of 455.4 billion lempiras (about $18.2 billion), with 84% funded from domestic revenue and priorities including 8.6 billion for infrastructure, 8.7 billion for health, increased municipal transfers, and support for agriculture amid El Niño drought concerns.

An extreme El Niño event could reduce Latin America and the Caribbean's GDP by at least 2 percent, according to the UN economic commission for the region (CEPAL).

Former ENEE general manager Salomón Ordóñez warns that Honduras's largest hydroelectric reservoir has lost 50% of its generating capacity due to drought, with power-sector reform results expected in two to three years.

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.

Honduras's shrimp producers face mounting losses from drought-driven higher salinity in ponds, production costs up 15–18%, and depressed international prices worsened by Ecuadorian oversupply, threatening employment in the southern region.

A 14-member Honduran delegation of government officials and private-sector representatives is in Israel to study water management, drip-irrigation systems, and dairy-production technologies to address El Niño drought impacts, following President Nasry Asfura's January visit to Israeli Prime Minister Benjamin Netanyahu.

The UN Food and Agriculture Organization called on Central American countries to strengthen strategic grain reserves to protect food security during the expected 2026–2027 El Niño, which forecasters say will bring reduced rainfall, more frequent droughts, and crop damage across the region.

Congressman Hugo Noé Pino of the Libre party warned that the El Niño drought's damage to food production will push inflation above 5% in the second half of 2026, and called for contingency plans to protect food security in hardest-hit regions.