WASHINGTON, D.C., July 10, 2025 – The Executive Board of The World Bank today approved a US$100 million project for the rehabilitation and improved management of 174 km of the CA-13 Highway in Honduras, a strategic corridor for the country. This initiative will enhance road safety and climate resilience, benefiting 615,000 people, including women, Indigenous communities, and Afro-descendants.
In addition, the project will improve connectivity and boost road safety, trade, and tourism, creating direct and indirect employment opportunities through the hiring of local labor, with an emphasis on women’s participation in road maintenance.
The CA-13 connects La Ceiba, the fifth most populous city, and Puerto Castilla, the country’s second most important port. A section of the CA-13 was severely damaged in 2024 by Tropical Storm Sara, highlighting its vulnerability and the urgent need to strengthen the country’s infrastructure resilience. The “Resilient Management of the Road Corridor between La Ceiba and Puerto Castilla” project will be implemented through a long-term Rehabilitation and Maintenance Contract (CREMA), which will enable more efficient use of public resources and ensure sustainability. Additionally, infrastructure—particularly bridges—will be rebuilt to enhance resilience to extreme weather events.
The innovative CREMA contracts, proven effective in countries like Brazil and Argentina, include clauses that ensure better outcomes through performance-based management models over the medium and long term. For this section of the CA-13, specific clauses on resilience and road safety will be included, aiming to reduce the national road mortality rate of 19 deaths per 100,000 inhabitants, one of the highest in Latin America and the Caribbean.
“This project is a strategic priority for the government of President Xiomara Castro, as it directly contributes to our vision of building a more resilient, equitable, and inclusive country. With this investment, we strengthen the connectivity of historically neglected areas, boost local economic development, create dignified employment especially for women, and improve access to essential services. Additionally, we reaffirm our commitment to climate action by incorporating sustainable and modern solutions in road infrastructure management. This is an investment that reflects our development model with social justice and environmental sustainability,” said Christian Duarte, Secretary of Finance of Honduras.
“The project incorporates international best practices for road management in Honduras. This section will facilitate regional integration, accelerating trade, job creation, and access to services. It’s a unique opportunity to improve connectivity in the Central American region,” said Andrew Kircher, World Bank Group Resident Representative in Honduras. “Improved road management is expected to boost sectors such as trade, logistics, and ecotourism in the departments of Atlántida and Colón, regions with high productive and tourism potential.”
Beyond infrastructure improvements, the project will also strengthen institutional capacity to manage road assets sustainably and resiliently in the face of climate challenges. This is the second World Bank financing aimed at improving road infrastructure in Honduras within a year.
The project will also receive complementary funding from the Development Promotion Fund (FONPRODE) of the Government of Spain.
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