Browse Honduras Daily Stories

Economist Ismael Zepeda criticized the government's new $177 million CAF loan for the energy sector, arguing it contradicts recent reforms meant to attract private investment and warning that the debt burden will fall on consumers rather than private utilities.

Honduras National Statistics Institute officials cite high fuel costs and unemployment—worsened by reduced private investment—as the main factors pressuring household incomes, describing poverty as a structural challenge spanning decades.

Honduras's Energy Commission is reviewing a Liberal Party counterproposal for restructuring the state electric utility into three operating subsidiaries, aiming to attract private capital for modernization while keeping state ownership of major generation and transmission assets.

Through March 2026, residential construction remained the largest component of private building activity, with increases in new homes registered in Tegucigalpa, San Pedro Sula, and Juticalpa.

The ENEE's financial manager said new transmission infrastructure projects will be funded through private investment drawn by sector openness, not public debt alone, to accelerate Honduras's energy development.

Honduras's business council submitted proposals to modernize electricity regulations under review by Congress, urging independent regulators and stable rules to strengthen the grid and attract investment.