Honduras Infrastructure Report Q2 2016
BMI View: The Honduran construction industry is poised to break out of a three-year recession as anumber of high-value transport projects move forward in 2016. The impetus for these projects will comefrom development institutional support and heightened private sector investment through the successful useof the PPP model.
Latest Updates And Structural Trends
Our view that international support would help to advance major transport projects is beginning to playout and, as such, we expect the Honduras construction industry to post positive growth in 2016.
We expect the industry to reach 3.3% real growth in 2016 and then continue to expand at an average rateof 2.8% over our forecast period (2016-2025).
The successful tendering of the USD135mn Palmerola Airport project represents a major success forCoalianza, Honduras' PPP agency. As such, the agency's USD2bn PPP project pipeline offers asubstantial upside to our forecasts.
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