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Caribbean & Central America - August 2014 (ISSN 1741-4458)
HONDURAS: Weighed down by debt
According to a new study by the Central American Institute of Fiscal Studies (Icefi), if Honduras’ high fiscal deficit is maintained in the next few years it will be impossible to reduce public debt in the medium term, with the risk that the country could fall into a vicious circle of unsustainable debt servicing. The study comes as the government is trying to finalise talks with the International Monetary Fund (IMF) on a new US$200m stand-by agreement.
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