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Economy / Honduras


June 2012 | Ratings Update

Honduran President Porfirio Lobo and representatives of the Movimiento Unificado Campesino del Aguán (Muca) signed a deal on June 5 which could help bring the long-running Bajo Aguán land conflict to an end. Since a 1992 law removed protections for small farmers, a number of large landowners have consolidated their land holdings at the expense of small farmers, such that they now own nearly three-quarters of the regional land. The deal involved the government purchasing 4,000 hectares of land for the farmers from the powerful palm oil magnate, Miguel Facusse, which the farmers repay the government for over the next 15 years.

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