Honduras is a lower-middle-income country, the third poorest in Latin America, with approximately 51% of the population of 9 million living below the national extreme poverty line. Poverty is particularly acute in rural areas - home to 45% of the population - where many households are landless or land-poor. Honduras is vulnerable to hurricanes and other natural disasters that make sustained poverty reduction difficult.
Private, state and indigenous property rights are enshrined in law, however rights of indigenous and ethnic groups and women are not effectively realised in practice. Several challenges exist: approximately 80% of the privately held land in Honduras is either untitled or improperly titled, and the property registration system is unreliable; resolution of title disputes in court often takes years; reported corruption and weak state institutions makes enforcement weak; and rising demand and prices for urban land have spurred forcible evictions and displacement of informal occupants near growing cities.