Honduras lays out rescue strategy for debt-ridden Hondutel

Honduras lays out rescue strategy for debt-ridden Hondutel

Honduras’ state-back operator Hondutel has revealed that its losses topped HNL298.9 million (US$12.4 million) for the first half of 2021, reportedly prompting a rescue package from the country’s government.

Local news outlet La Prensa reported that Hondutel has registered an annual net loss for the past three years. The operator has now had its power shut off by state utility firm Empresa Energia Honduras (EEH) after failing to pay its HNL450 million electricity bill.

TeleGeography reports that the government’s general coordinator Carlos Madero has laid out a plan to modernise the operator into a “broadband institution” capable of delivering gigabit speeds.

Under the preliminary proposals, the government will invest in a new submarine cable in order to boost Honduras’ available bandwidth by two or three times. Madero noted that privatizing Hondutel was not under consideration.

MORE ARTICLES YOU MAY BE INTERESTED IN...


Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE weekly email newsletters for the latest telecom info in developing and emerging markets globally.
Sending occasional e-mail from 3rd parties about industry white papers, online and live events relevant to subscribers helps us fund this website and free weekly newsletter. We never sell your personal data. Click here to view our privacy policy.