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Canada’s Commitment
Looking Ahead
The destruction caused by Hurricane Mitch in 1998 had a tremendous impact on Honduras, the country most affected in Central America. However, out of the terrible losses—6,000 persons killed, the destruction of 70 percent of all agricultural crops, and serious damage to houses, services, and infrastructure—a new, more coordinated approach to reconstruction has helped Honduras not only to recover, but also to plan its long-term development. With help from the international donor community, the World Bank and the International Monetary Fund, Honduras has developed a Poverty Reduction Strategy to chart the way forward. This strategy is based on extensive coordination and collaboration with a wide range of Honduran organizations and institutions, and focuses on these strategic areas:
- economic growth
- poverty reduction in rural and urban areas
- investment in human capital
- strengthening social protection for specific groups
- guaranteeing the sustainability of the strategy
![© ACDI-CIDA/Patricio Baeza](/web/20061030100436im_/http://www.acdi-cida.gc.ca/INET/IMAGES.NSF/vLUImages/Honduras/$file/Honduras-bananas.jpg) Bananas are grown in Honduras' Guayape Valley. CIDA works with local representatives to address land ownership, deforestation and watershed management.
| Despite this progress, Honduras remains one of the poorest countries in the western hemisphere. Two-thirds of its population lives below the poverty line and the country struggles under a significant debt load. Honduras has significant natural resources but these are threatened by overuse and environmental degradation, a serious drawback in an economy that depends mainly on agriculture.
Canada's Commitment
The Canadian International Development Agency's (CIDA) current bilateral program is based on a large decentralized initiative called Pro-Mesas, which works in the areas of natural resource management, health, and education. The choice of sectors is based on CIDA's Bilateral Programming Plan for Honduras, which outlines how CIDA's programming will be consistent with and help achieve the strategic goals outlined in the Poverty Reduction Strategy. The bilateral program supports the work of CIDA’s partners, including international organizations such as the United Nations Development Programme and Canada’s many non-governmental development organizations. It also supports activities that are identified with Hondurans to reduce the country's social and ecological vulnerability. Canada, through CIDA, has provided more than $287 million in official development assistance to Honduras since 1969.
Looking Ahead
![© ACDI-CIDA/Patricio Baeza](/web/20061030100436im_/http://www.acdi-cida.gc.ca/INET/IMAGES.NSF/vLUImages/Honduras/$file/Honduras-escuela.jpg) Escuela Canadá is a CIDA-funded one-room schoolhouse located in Pozos Abajo. Rural education infrastructure will be improved through the Education for All initiative.
| Honduras is one of the 25 development partner countries in which CIDA will concentrate the bulk of its bilateral (country to country) assistance. Honduras' bilateral program will thus spend roughly $14 million per year from 2004-2005 to 2006-2007, with another $2 million supporting the initiatives of CIDA’s Canadian partners annually. In keeping with this statement, CIDA will be looking at supporting major country-led programs, rather than by providing support on a project-by-project basis. An example of this is CIDA's $20-million commitment to the education sector. CIDA will also work to develop greater coherence between its various channels of aid and greater coordination among Honduras’ development partners.
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