ABSTRACT
The Honduran economy has grown and diversified in the face of persistent obstacles. In many respects, the economic fortunes of Honduras turn upon the nexus between export capacity and import needs. The agrarian nature of the Honduran economic base and its reliance upon exports were established early, as mining and cattle raising historically affected land-use patterns and the structure of social development. Economic diversification, greater demands for commodities, expanded exports, availability of credit, and other international linkages helped to stimulate industrial growth and a more dynamic commercial-agribusiness sector. The economic impact of the banana industry has declined in relative terms as other commodities compete for export markets. Economic growth and development led to a rapid expansion of banking after 1967 as both nationally owned and foreign institutions multiplied. The basic objective of Honduran economic policymakers since 1950 has been to create and expand the nation's infrastructure: roads, electricity, communications, financial institutions, and administrative capability.
