The World Bank has decided to restore development aid to Honduras, after almost eight months of suspension. A planned loan of $270 million and an additional $130 million in new credit will be provided, following the inauguration of the new president Porfirio Lobo ,despite controversy over his election. In early March, the IMF recognised the new administration, but without indicating how the decision had been made. Honduras is still suspended from the Organization of American States, a regional multilateral body. Regional powers Brazil, Mexico, Ecuador, and Chile are among the many Latin American countries refusing to recognise the Lobo administration.
World Bank & IMF in the news
Despite the World Bank’s commitment to move away from funding coal, a series of loopholes in its financial intermediary lending remain that will continue to allow finance to support coal power projects.