Honduras seeks China aid to boost economy

A 150 percent increase in public debt has become a burden for Honduras’s economy that can be overcome with fresh aid from China, more mining revenue and oil exploration, President Porfirio Lobo said.

The government will this month sign an accord with the Industrial & Commercial Bank of China for a $295 million loan to fund the second stage of the Patuca 3 hydroelectric project.

In June, Honduras announced plans to work with a Chinese company on an Atlantic-to-Pacific railroad to boost trade across the Central American region.

Source: Bloomberg