FX Week

Honduras rejects US dollar

MARKET NEWS

TEGUCIGALPA -- The Honduran central bank last week rejected calls from business officials to dollarise the Honduran economy.

"It’s an aberration to think that dollarisation will solve the economic and financial problems of the country," central bank president Maria Elena Mondragon told reporters last week. A move to dollarisation, she added, would require the nation to lower its ballooning fiscal deficit.

In many central and South American countries, such as Honduras’ neighbour El Salvador, th