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.