Honduras Returns to the World Bank’s Arbitration Court With an Eye on Investors
Honduras has been a full member of ICSID, the World Bank's arbitration court, since 16 August. Asfura pairs the return with an energy reform that could pass Congress next week, while a sliding lempira squeezes prices. The post Honduras Returns to the World Bank’s Arbitration Court With an Eye on Investors appeared first on The Rio Times .
On 16 August 2026, Honduras rejoined the World Bank’s arbitration court, signaling its openness to foreign investment. Analysts interpret this move as a statement that the country is ready for business. However, the return to the ICSID is not without challenges. Honduras still faces a massive US$1.63 billion claim from Próspera charter-city investors at the same court, a dispute that dates back more than three years.
Congress may soon vote on an energy reform, which would split the state utility ENEE into three separate companies. The reform aims to address ENEE's annual losses of around US$600 million, with monthly losses estimated at about US$45 million. The dollar has reached its highest level in years, breaking the 27 lempira to the US dollar mark, leading to higher import and fuel prices.
In an effort to mitigate the impacts of the stronger dollar, President Nasry Asfura announced a temporary fuel subsidy, costing around US$1.8 million per week. The lempira's strength has also increased import and food prices, affecting households that rely on remittances from abroad.
Honduras has also sought to strengthen regional alliances, meeting with Dominican President Luis Abinader in Colombia. The two leaders agreed to collaborate on trade, security, air connectivity, and the Haiti crisis. The Dominican Republic is seen as a growth star in the region, making it a valuable ally for Honduras in its efforts to attract foreign investment.
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