Honduras Threshold Program

  • Grant Total: $15,650,000
  • Grant Expended: $7,898,039
  • Signed: August 28, 2013

The $15.6 million Threshold Program aims to improve public financial management and create more effective and transparent public-private partnerships in Honduras.

The program will help the Government of Honduras save money in the provision of public services, improve delivery of public services and reduce opportunities for corruption—ultimately improving governance in Honduras.

Public-Private Partnerships Project

The Honduran government is using public-private partnerships (PPPs) for many new projects, and has taken initial steps to put the right institutional structure in place. The Public-Private Partnerships Project aims to improve the efficiency and transparency of PPPs by increasing the government's capacity to develop, negotiate, implement, and oversee PPPs.
The project has two activities:

  • Develop Core PPP Capacity: MCC will provide support to improve the capacity and procedures of government agencies with key responsibilities to develop PPPs in accordance with international best practices. This includes support to develop manuals and procedures needed to properly select, prioritize, structure, and award PPPs; identify and manage fiscal risks in its PPP portfolio; and training in using these manuals and procedures.
  • Design and Implementation of PPPs: MCC will provide specialized technical assistance to improve administration of PPPs in implementation.

The project’s expected outcomes include improved transparency and accountability of PPPs, improved capacity in economic and financial analysis to improve the structuring of future PPPs, improved capacity for the monitoring of concessionaires, and proper government management in the road concession contracts that have already been signed.

Public Financial Management Project

The Public Financial Management Project aims to make the management of government finances more efficient and transparent. The project will accomplish this by supporting activities to improve budget formulation and execution, planning, payments, procurement, auditing, and civil society oversight.