Republic of Honduras Country Environmental Analysis
2007
World Bank
Honduras has accomplished important political, economic, and social achievements in the recent past. The country underwent a successful transition from an authoritarian military regime to a pluralistic democracy. The list of economic achievements of the last four years includes: macroeconomic stability, improvements in the business climate and the performance of the financial sector, and putting in place a sound framework for public sector financial management. Progress toward achieving the Millennium Development Goals (MDGs) has also been significant. Despite these achievements, state institutions are still fragile and the governance framework is weak. Furthermore, notwithstanding the country's economic and social improvement, almost two-thirds of the population still lives below the poverty line and key structural constraints on growth have still to be addressed. The key development challenges for Honduras are: (a) strengthening governance and improving the effectiveness of the government, and (b) accelerating its recent growth performance and translating growth into poverty reduction. Among the recommendations the report makes are: The development of additional regulations, strengthen links between the environmental impact assessment (EIA) and other management instruments, particularly Strategic Environmental Assessments (SEAs) and zoning. Work with the Honduran government to strengthen the follow-up and compliance process as well as strengthening public participation in the EIA process.
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