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Honduras assesses renegotiation of its external public debt

Honduras, deuda, externa, renegociación

Honduras assesses renegotiation of its external public debt

Tegucigalpa, Jan 31 (Prensa Latina) Honduran organizations on Monday warn about the relevance of not paying the foreign debt of the Central American nation, contracted by the administrations prior to Xiomara Castro, and promotes a renegotiation with international entities.
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During her inauguration speech, Castro, who won the November 28 general elections, mentioned a possible restructuring of those commitments, which amount to about 17 billion dollars, a figure considered as a suffocation for the state finances.

Data provided by the Central Bank of Honduras (BCH) show that until December 2021, the Government of Juan Orlando Hernandez accumulated a public foreign debt of 9.2 billion dollars, 137 million more than in 2020.

History reflects that in 2005, after an intense campaign by the executives of Carlos Flores and Ricardo Maduro, and the international support, the country achieved a cancellation of 60-percent obligations with credit organizations and friendly nations, at that time estimated at five billion dollars.

Castro, representative of the Liberty and Refoundation (LIBRE) Party, emphasized in her speech that from 2009 to 2022, the high digits of indebtedness, interest and capital payments currently consume 50 percent of the income of the General Budget of the Republic.

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