Honduras Economic information

Honduras is a country in Central America and its economy is primarily based on agriculture, services and industry. The GDP of Honduras is estimated at approximately $24.9 billion according to 2020 data. GDP growth rate varies from year to year. For example, while a growth of

2.7% was recorded in 2019, there was a contraction of

10.2% in 2020 due to the COVID-19 pandemic. The agricultural sector is an important part of the Honduran economy and accounts for a large portion of the country's exports. Products such as bananas, coffee, cocoa, palm oil and sugar cane are the main products produced in the agricultural sector. Fishing is also an important sector. Honduras' top exports include bananas, coffee, palm oil, textiles, gold and silver. Most of these products are traded with the United States, the European Union and Central American Neighbors. The service sector also plays an important role in the Honduran economy. Services are provided in areas such as tourism, finance and telecommunications. Especially the tourism sector provides a significant foreign exchange inflow to the country. The industrial sector has great potential in Honduras' economy. Production is carried out in sectors such as textile, clothing, food processing, chemicals and metal processing. Free trade zones, in particular, are used to encourage foreign investments. The economic situation of Honduras faces many problems. Problems such as high poverty rate, unemployment and income inequality affect the country's economy. At the same time, crime rates, political instability and infrastructure deficiencies are also factors that negatively affect economic development. Honduras is trying to implement reforms to promote economic development. Studies are carried out in areas such as improving the investment environment, infrastructure investments, education and developing a skilled workforce. In addition, policies such as foreign trade agreements and investment incentives are also implemented.