Press Release No. 06/188

Press Release: Statement by IMF Technical Assistance Mission to Honduras

September 1, 2006

Mr. Mario Garza, the International Monetary Fund (IMF) resident representative in Tegucigalpa, issued the following statement today in Honduras:

"At the request of the Government of Honduras, a technical assistance mission from the Fiscal Affairs Department of the IMF visited Tegucigalpa during August 21-31, 2006. The purpose of the mission was to look at the current system of energy subsidies. The mission concluded that the government's support can be better targeted to the most vulnerable groups while containing its impact on the budget, as the economy adjusts to the oil price shock. As is customary, upon returning to Washington, the mission will prepare a report for the Honduran government on its technical assessment."