Browse Honduras Daily Stories

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.

A northern Honduras fuel distributor says crude-oil prices will continue climbing for at least two weeks due to Middle East tensions, though he notes price controls are managed through international regulations to prevent sharp spikes in the basic basket and inflation.

Economist Ismael Zepeda says the Central Bank will struggle to control inflation through monetary policy given international conflicts raising fuel costs and a planned electricity rate increase in the third quarter, though the bank aims to absorb excess money supply and cut monetary emissions by 11%.

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.

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.

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.

Roberto Lagos, president of the Central Bank of Honduras, said July inflation data should show a deceleration, and the bank will review monetary-policy instruments to reduce excess money supply without harming credit growth, which has risen 6.7% in the first seven months of 2026.

Rafael Medina, former head of Tegucigalpa's Chamber of Commerce, urged oil companies and transporters to pass falling global fuel prices to consumers quickly, noting that inflation jumped nearly 1.5 percentage points above year-ago levels partly because of earlier fuel-cost increases.

Central Bank President Roberto Lagos said Honduras must prepare monetary and fiscal measures aligned with IMF recommendations to contain inflation, while currently monitoring how fuel prices ripple through the economy; he indicated no immediate rate adjustment is needed given US Federal Reserve policy.

An economist at Fosdeh argues that recent declines in diesel prices justify revising public transport fares that were raised months ago as a temporary measure tied to fuel costs.

Economist Amparo Canales welcomed fuel price reductions as temporary relief but stressed that savings must translate into lower consumer prices broadly, urging authorities to monitor for pricing abuses.

Economist Guillermo Matamoros says the Central Bank of Honduras must implement mitigation measures as inflation indicators suggest it will exceed the bank's target range, though May data shows a slowdown from April.

Former Liberal Party leader Yani Rosenthal says fallout from a foreign war has pushed Honduras's inflation beyond the Central Bank's target range, squeezing households and forcing the government to subsidize fuel and energy costs.

Congressman Marco Midence, a former finance minister, warned that climbing oil prices driven by Middle East conflict will push inflation higher in Honduras, urging the government to adopt energy efficiency measures and stabilize food prices through state programs.