Honduras Infrastructure Report Q4 2017
BMI View: Although in many respects a challenging market, the outlook for the Honduran constructionsector is nonetheless relatively positive with several significant power and transport infrastructure projectsprogressing in 2017. The size of the market remains constrained by limited public spending capacity,leaving many projects reliant upon regional funding for financing. The growing use of public-privatepartnerships is also a positive market indicator, though investment is heavily reliant upon a stable politicaland security environment which at times appears uncertain.
Forecast & Industry Developments
While many projects are progressing in 2017, some have been halted including the controversialdevelopment of a hydropower plant by Agua Zarca. Several international bodies withdrew funding forthe project following the death of protester Berta Cáceres in March 2016 and Agua Zarca confirmed inJuly 2017 it was suspending the project.
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