Browse Honduras Daily Stories

Economist Julio Raudales says the Central Bank of Honduras's inflation target of 5–6% is reachable if monetary policy remains disciplined and external shocks do not occur, though he cautions that balancing price control with economic growth remains a key challenge.

Honduras's labor federations say they will immediately seek a minimum-wage adjustment if inflation reaches 7%, invoking a safeguard clause in the current wage agreement, citing rising fuel and food costs eroding workers' purchasing power.

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).

The Honduran fuel distributors' association says price reductions take longer to reach consumers than increases because of volatile global markets, summer demand surges abroad, and geopolitical uncertainty around Middle Eastern shipping routes.

Potato prices at Tegucigalpa's El Lempirita market climbed to L25 per pound (about $1 per pound) due to reduced harvests from March-to-May drought, part of broader food-cost pressure straining household budgets.

A Fosdeh economist warns that roughly 37 billion lempiras in unaccounted money emitted by the previous administration could stoke inflation, though he notes that inflation stems from multiple causes including import dependence, fuel costs, and climate-driven agricultural shortfalls.

Year-over-year inflation in Honduras reached 6.09% in May, up 1.55 percentage points from a year earlier, driven mainly by rising fuel prices that accounted for nearly half the overall price increase.

Honduras's electric utility regulator approved a third rate increase for 2026 effective July 1, expected to raise bills 5–10% through September, pushing year-to-date increases to nearly 15% amid inflation above target and lempira depreciation.

A UNAH food-security monitor reports sustained increases in basic food costs—beef, pork, eggs, oil, and beans up 1–10 lempiras per item in early June—outpacing minimum-wage gains and pushing an estimated 2.2 million Hondurans toward food insecurity by year-end.

A consumer-advocacy group reported that at least 16 staple foods rose in price over the weekend, with beans reaching 120 lempiras (about $4.80) per measure and eggs up to 110 lempiras (about $4.40) per carton, alongside price increases in chayote, potatoes, peppers, and broccoli, blamed on weather, inflation, and Middle East conflicts.

Egg prices jumped at Tegucigalpa's main markets over the weekend, with large eggs rising from 85 to 95 lempiras per 30-unit carton, as sellers cite higher production costs and limited large-egg supply.

Business leaders warn that persistent inflation and rising energy costs remain the top concerns for Honduras's economy, with April's year-over-year inflation reaching 5.56% and Middle East instability driving up fuel prices.

The vice president of the Tegucigalpa Chamber of Commerce warned that while Honduras has made macroeconomic progress, inflation, insecurity, unemployment, and extortion continue to prevent those gains from improving living standards for ordinary Hondurans.

The Central Bank of Honduras released its updated 2026–2027 monetary program, projecting inflation will converge to its 4.0% ± 1 percentage-point target by December 2026 and tightening money-supply measures to combat price pressures that reached 5.83% in June.