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Honduras - Country economic memorandum : poverty assessment (English)

This country economic memorandum, the first for Honduras since 1987, focuses on policies for macroeconomic stabilization and poverty alleviation. It contains a Poverty Assessment and addresses three main areas: fiscal policy, agriculture and the social sectors. Honduras has suffered from varying degrees of fiscal instability for the last two decades. Recently, this has become chronic. Significant fiscal deficits intensify poverty, first because the consequent macroeconomic instability hits the poor hardest and is not conducive to savings, investment and growth; and second, because they severely limit the fiscal space available for targeted programs. In the social sectors, there are serious inefficiencies and misallocation of resources and insufficient focus on the needs of the poor. Agriculture is key to Honduras' ability to grow more rapidly in an equitable manner: society is largely rural, an overwhelming majority of the poor earn their livelihood in agriculture, and agricultural products generate 80 percent of export earnings. This report addresses the key policies and structural reforms required to: 1) underpin a substantially improved fiscal performance; 2) promote more rapid and equitable growth in agriculture; and 3) ensure more effective use of public resources in the social sectors and strengthen existing efforts to target the poor.


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    Pre-2003 Economic or Sector Report

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    Latin America & Caribbean,

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    Honduras - Country economic memorandum : poverty assessment

  • Keywords

    Agriculture;Exchange Rates;fiscal deficit;high rate of population growth;National Autonomous University of Honduras;General Directorate of Customs;efficiency of the public sector;program privatization of state;public sector investment program;childhood and youth;liberalization of financial market;excise tax on import;social safety net program;fire prevention and control;real effective exchange rate;policy and structural reform;provision of infrastructure service;primary health care system;informal sector;national action plan;tax and customs administration;balance of payment crisis;Agricultural Research and Extension;Land tenure;rural area;education and health;public expenditure;current account deficit;real exchange rate;public sector saving;public investment program;price control;Fiscal policies;fiscal policy;expansionary fiscal policy;machinery and equipment;tight monetary policy;exchange rate policy;Exchange rate policies;market exchange rate;living in poverty;public sector deficit;Natural Resource Management;terms of trade;sales tax;small farmer;interest rate control;participation of communities;industrial process;gross national saving;reduction in transfer;wages and salary;debt service payment;average inflation rate;poverty reduction policy;competitive exchange rate;inefficient public sector;increasing tax revenue;tariff adjustment mechanism;legal reserve requirement;external debt payment;system Financial;reallocation of resource;rate of investment;rural health;secure property right;exchange rate volatility;foreign exchange market;demand for labor;poverty headcount index;total tax revenue;price of gasoline;electricity distribution system;gdp growth rate;official exchange rate;animal research;exchange rate management;availability of water;minimum income tax;job creation program;investment in school;misallocation of resources;overvalued exchange rate;employment in agriculture;reduction of poverty;full time job;operations and maintenance;adverse weather conditions;distribution of investment;area of regulation;rural poor benefit;rate of growth;primary school child;domestic interest rate;growth in agriculture;Minimum Wage Policy;nominal protection rate;reduction in poverty;international financial community;exchange rate system;tax collection effort;ease of collection;economic policy reform;expenditure in education;sales tax collection;expenditure education;long-term poverty reduction;quality of data;high dropout rate;agriculture and forestry;Trade Policy;Tax Reform;stabilization program;Trade Policies;poverty datum;Labor Market;government intervention;producer price;interbank market;economic reform;Macroeconomic Stability;Rural Credit;fiscal package;agricultural growth;Agricultural Trade;Tax Administration;Tax Exemption;urban agricultural policy;foreign debt;social security;project selection;forestry policy;tax from october;public funding;macroeconomic development;Tax Evasion;export volume;social policy;trade system;social policies;targeted intervention;macroeconomic framework;primary surplus;macroeconomic stabilization;public saving;real gdp;domestic saving;government's strategy;private investment;current expenditure;small-scale infrastructure;public policy;International Trade;multilateral institution;bilateral debt;rural population;large debt;relative price;fiscal framework;Public Employment;legal framework;structural adjustment;nutrition program;wage increase;external arrears;External Finance;skilled personnel;export earnings;fiscal saving;tax rate;fiscal improvement;qualified professional;rural transportation infrastructure;agricultural employment;foreign borrowing;land reform;subsidized credit;international competition;custom purpose;additional revenue;tax base;valuation purposes;import tariff;real rate;agricultural product;equitable manner;agricultural price;targeted program;fiscal space;severely limits;efficiency benefit;organizational problem;fiscal stabilization;debt accumulation;public entity;deficit financing



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Honduras - Country economic memorandum : poverty assessment (English). Washington, D.C. : World Bank Group.