Honduras Signs the ICSID Convention

WASHINGTON, D.C., March 6, 2026-The President of the Republic of Honduras, Nasry Juan Asfura, today signed the Convention on the Settlement of Investment Disputes between States and Nationals of Other States, also known as the ICSID Convention.

"Investment follows trust. When investors know the rules are clear and contracts will be honored, they are far more willing to put capital to work," said Ajay Banga, President of the World Bank Group and Chair of the ICSID Administrative Council. "By signing the ICSID Convention, Honduras is sending a clear signal that it is open for business and serious about creating the conditions for private investment-and ultimately jobs-to grow."

Honduras is the 166th Signatory State to the ICSID Convention. Upon ratification, Honduras will become an ICSID Member State and participate in ICSID's governance through representation on its Administrative Council. The Honduran government and foreign investors in Honduras will then have access to arbitration and conciliation under the ICSID Convention-an international treaty establishing the legal framework for resolving investment disputes. They may also use ICSID's mediation services at any time, either as an alternative to arbitration or alongside it.

"By rejoining ICSID, Honduras adopts globally recognized international standards for the resolution of investment disputes. This does not weaken the country; it strengthens it. It places us within the framework of predictability that international markets value and that investors require," said President Nasry Asfura during the signing ceremony.

ICSID is essential to the World Bank Group's work to accelerate job creation at scale, a strategy focused on investing in the foundational physical and human infrastructure for jobs, supporting a business-friendly environment, and mobilizing private capital.

ICSID membership supports States' policies to attract and retain foreign direct investment to create more job opportunities and economic growth. It signals States' openness to resolving disputes through arbitration, conciliation, and mediation in a trusted forum established under an international convention. ICSID's rules and procedures are tailored specifically to investment disputes involving States and balance the interests of investors and States. Membership is voluntary, and States incur no fees to join or maintain it.

"We thank President Nasry Asfura and the Government of Honduras for their confidence in ICSID as an impartial and trusted forum for resolving international investment disputes. Honduras is taking a crucial step toward ICSID membership and the benefits it brings for investment and growth. We stand ready to support the country on all membership matters, including technical assistance-through training and capacity building-on dispute prevention, preparedness, and management," said Martina Polasek, Secretary-General of ICSID.

About ICSID
• Part of the World Bank Group, the International Centre for Settlement of Investment Disputes (ICSID) provides services, rules, and facilities for resolving disputes between foreign investors and host States.
• ICSID promotes cross-border investment by providing an impartial forum for resolving international investment disputes fairly, efficiently, and conclusively. Access to effective, impartial dispute resolution strengthens investor and State confidence and enhances predictability-core pillars of a favorable investment climate.
• ICSID administers arbitration, conciliation and mediation proceedings under investment contracts, international treaties, and domestic investment laws that refer disputes to ICSID. Arbitration cases are decided by independent tribunals typically appointed by the parties.
• Currently, 158 States have ratified the ICSID Convention.