EWS Project Alert: IDB Support to Investment Attraction and Job Creation in Honduras (ZEDEs) PROJECT SUMMARY

The Center for International Environmental Law (CIEL) issued a project alert regarding a $20 million loan from the Inter-American Development Bank (IDB) to the government of Honduras. The loan is intended to support the conceptualization and technical preparation of Employment and Economic Development Zones (ZEDEs), which are designed to attract investment and create formal jobs. CIEL argues that the ZEDE framework violates numerous IDB operational policies and Honduran constitutional and international rights due to the zones' private governance structure and lack of transparency.

• The Inter-American Development Bank (IDB) proposed a $20 million loan to the government of Honduras to assist in the 'conceptualization and preparation of technical studies and designs' for Employment and Economic Development Zones (ZEDEs). These zones are intended to increase investment in employment-intensive sectors, create formal jobs, and reduce both unemployment and informal employment.
• ZEDEs are established under Decree No. 120-2013 and are characterized by extreme administrative and legal autonomy. They are governed by private entities and possess the authority to implement their own public policies, utilize private police forces, create their own educational curricula, and operate an independent judicial system that may employ foreign judges and judicial traditions. Additionally, ZEDEs have the power to nullify existing labor laws and contracts within their territories.
• CIEL asserts that the ZEDE framework contradicts several IDB Operational Policies. Specifically, it claims ZEDEs undermine transparency (OP-102) as private ventures, weaken environmental governance (OP-703), dismantle democratic governance of public utilities (OP-708), and conflict with policies on involuntary resettlement (OP-710) by prioritizing land expropriation and exempting low-density areas from consultation.
• The ZEDE law is described as reducing protections under the Honduran Constitution and violating international treaty obligations. The law specifies that only Articles 10, 11, 12, 13, 15, and 19 of the Constitution are to be fully enforced. Furthermore, the lack of guaranteed local representation is cited as a violation of the American Convention on Human Rights, the International Covenant on Civil and Political Rights (ICCPR), and the International Covenant of Economic, Social, and Cultural Rights.

APA

Alford-Jones, K. (2017). EWS Project Alert: IDB Support to Investment Attraction and Job Creation in Honduras (ZEDEs) PROJECT SUMMARY. Center for International Environmental Law. https://www.ciel.org/wp-content/uploads/2017/11/EWS-Project-Alert-ZEDEs.pdf

Chicago

Alford-Jones, Kelsey. EWS Project Alert: IDB Support to Investment Attraction and Job Creation in Honduras (ZEDEs) PROJECT SUMMARY. Center for International Environmental Law, 2017. https://www.ciel.org/wp-content/uploads/2017/11/EWS-Project-Alert-ZEDEs.pdf.

Wikipedia

{{cite report |last1=Alford-Jones |first1=Kelsey |title=EWS Project Alert: IDB Support to Investment Attraction and Job Creation in Honduras (ZEDEs) PROJECT SUMMARY |publisher=Center for International Environmental Law |date=16 November 2017 |url=https://www.ciel.org/wp-content/uploads/2017/11/EWS-Project-Alert-ZEDEs.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{alfordjones2017ews, author = {Alford-Jones, Kelsey}, title = {{EWS Project Alert: IDB Support to Investment Attraction and Job Creation in Honduras (ZEDEs) PROJECT SUMMARY}}, institution = {Center for International Environmental Law}, year = {2017}, month = nov, url = {https://www.ciel.org/wp-content/uploads/2017/11/EWS-Project-Alert-ZEDEs.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }