Money

Honduras Weekly
The European Union (EU) will provide €50 million (US$64.795 million) to Honduras this year. The funds -- part of the €223 million (US$289 million) committed by the EU to Honduras for 2007-2013 -- will be spent on environmental support programs, specifically related to the preservation of forests and the balanced commercial development of lumber. The EU's delegate in Honduras, Peter Versteeg, said that a portion of the money would also be invested in efforts to improve security and human rights in the country. At least three human rights groups in Honduras will receive EU financial assistance. Mr. Versteeg noted that the EU is particularly interested in sending representatives to visit the Bajo Aguán Valley to better understand the land dispute in that unstable region. Some 50 people have died in the Bajo Aguán during the past two years in armed clashes involving peasant groups and security guards hired by wealthy landowners. (1/3/12)

Honduras Weekly
The European Union (EU) will provide €50 million (US$64.795 million) to Honduras this year. The funds -- part of the €223 million (US$289 million) committed by the EU to Honduras for 2007-2013 -- will be spent on environmental support programs, specifically related to the preservation of forests and the balanced commercial development of lumber. The EU's delegate in Honduras, Peter Versteeg, said that a portion of the money would also be invested in efforts to improve security and human rights in the country. At least three human rights groups in Honduras will receive EU financial assistance. Mr. Versteeg noted that the EU is particularly interested in sending representatives to visit the Bajo Aguán Valley to better understand the land dispute in that unstable region. Some 50 people have died in the Bajo Aguán during the past two years in armed clashes involving peasant groups and security guards hired by wealthy landowners. (1/3/12)

Hispanically Speaking News
Honduras is one of the poorest countries in Latin America. About 65 percent of its 8 million people live in poverty. Informality prevails in its labor market, affecting particularly the young, women and persons with limited education. Now, 12,500 young Hondurans have taken part in PROEMPLEO, the program supported by the Inter-American Development Bank (IDB) as a part of US$30.6 million secondary education project from 2004 to 2011. The goal of the program was to boost job opportunities for unemployed and underemployed people aged 18 to 29. A strategic alliance with the private sector enabled the program to achieve a high job placement rate of over 77 percent. Out of all the young people who went through the program, 9,607 obtained a steady job with benefits at the companies where they interned at the end of their training. More than half the beneficiaries were women. Trainees also received a certificate for their future job searches.

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Honduras Weekly
The World Bank yesterday approved two loans to Honduras worth a total of US$104 million. The first loan, valued at US$86 million, will go to help the country strengthen its tax collection system, reform its civil service and pension system, and help fund its social security program. A second loan of US$18.2 million will be used to improve the management of public finances and increase the administrative capacity of government. These credit extensions by the World Bank come a week after the Inter-American Development Bank (IDB) provided US$40 million to strengthen the stability of Honduras' financial system and expand access to financial services. The IDB loan, approved on November 30, contains measures aimed at improving the regulatory framework and the supervision processes of the Honduran government based on best practices. It also seeks to enhance the sustainability of these reforms through the improvement of the organizational structure of the National Banking and Insurance Commission of Honduras through better supervision and an environment conducive to expanded coverage of the financial system. (12/7/11)

Inter-American Development Bank
The Inter-American Development Bank (IDB) approved US$40 million to strengthen the stability of the financial system and expand access to financial services in Honduras. The package of measures aims to improve the regulatory framework and the supervision processes based on best practices. The operation also seeks to enhance the sustainability of these reforms through the improvement of the organizational structure of the National Banking and Insurance Commission of Honduras through better supervision and an environment conducive to expanded coverage of the financial system.

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Hurricanes Fifi of 1974 and Hurricane Mitch in 1998 stand out as the most severe events in recent decades, with 23 percent and 38 percent of the population affected and material damages equivalent to 52 percent and 72 percent of gross domestic product, respectively.

Inter-American Development Bank
Honduras will better cope with extraordinary expenses in case of natural disasters with assistance from an Inter-American Development Bank (IDB) standby loan for US$100 million. The United Nations (UN) has identified Honduras as the most hurricane-vulnerable country in the world. In the last 30 years, the country has been battered by 12 of them, with an average of 1,300 deaths per event and a total of US$4 billion in losses. "The IDB's assistance will allow the country to reduce the financial cost of emergency expenses and mitigate the impact such disasters may have on the economy by increasing the availability, stability and efficiency of financing," said Guillermo Collich, IDB team leader for the operation.

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Honduras Weekly
The government of France has agreed to pardon a US$12 million bilateral debt owed by Honduras, with the condition that the money be invested in education. The deal, which will be finalized before the end of the year, was announced last week by Honduran Minister of Finance William Chong Wong following a meeting with France's Ambassador to Honduras, Philippe Ardanaz, and Honduras' Minister of Education, Alejandro Ventura. "It is approximately US$12 million that will be invested in education programs over a period of five years," said Minister Chong Wong. The dispersal of the funds will reportedly be closely monitored. On September 14, Mr. Chong Wong submitted to Congress the Lobo administration's proposed budget for 2012, which includes Lps 23.2 billion (US$1.2 billion) for the Ministry of Education. Of that amount, approximately Lps 1.1 billion (US$57.9 million) would go to pay for teacher salaries and Lps 910 million (US$47.9 million) to fund requirements specified under the Teachers' Statute. (11/29/11)

Marketwire
Canadian Minister of International Cooperation Beverley J. Oda today announced that Canada will provide humanitarian assistance to those affected by flooding in Central America. Over recent months, flooding in Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua has affected almost two million people. "The devastating floods in Central America continue to threaten the health and safety of those affected," said Minister Oda. "The people of Central America face a serious humanitarian crisis and Canada is contributing to help those in need."

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USAgNet
The Howard G. Buffett Foundation announced a two-year, US$2.4 million commitment to scale up the World Food Program's innovative "Purchase for Progress" (P4P) program in Honduras. P4P empowers smallholder farmers -- those farming less than 5 hectares of land -- through critical training, education and paying fair prices for their produce. Eight thousand Honduran farmers will benefit from this commitment. "P4P is one of the most important projects we have ever invested in. It truly has the potential to be a game changer," said Howard G. Buffett, President of the Howard G. Buffett Foundation. "It is a groundbreaking program that differs from many traditional agricultural development projects by enabling smallholder farmers to build sustainable businesses through agriculture."

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Honduras Weekly
The Inter-American Development Bank (IDB) yesterday signed an agreement to donate US$200,000 to Honduras for the purchase of relief supplies for flood victims in the country. According to Honduras' Minister of Finance, William Chong Wong, the funds "extend some initial assistance, provide food, blankets, water, medicines and other products needed for human survival." He noted that the money would be managed and disbursed by the Permanent Commission for Emergencies (Copeco) and is required to be used strictly for humanitarian aid. "It is emergency assistance, not for reconstruction," said Mr. Chong Wong. A total of 29 people have lost their lives in Honduras during the past two weeks due to flooding brought on by torrential rains. Nine of the people are reported to have died in the department of Choluteca, seven in Cortés, three in Colón, three in Francisco Morazán, three in Lempira, two in Yoro, one in Atlántida, and one in Intibucá. (10/22/11)