Honduras Government Spending: Expenditure Level and Composition

The report examines compensation, purchases of goods and services, transfers and interest payments within Honduras's government expense.

The composition of government expense in Honduras in 2020 included 48.6% for employee compensation, 16.1% for goods and services, 17.0% for subsidies and other transfers, and 10.0% for interest payments. Non-interest expense represented 90.0% of total expense. Interest payments were equivalent to 10.6% of government revenue in 2020.

In the common comparison year 2020, Honduras ranked 91st of 161 economies by government expense as a share of GDP.

Honduras Government Spending by Year

Data source: World Bank, World Development Indicators — Expense, % of GDP (GC.XPN.TOTL.GD.ZS); Compensation of employees, % of expense (GC.XPN.COMP.ZS); Goods and services expense, % of expense (GC.XPN.GSRV.ZS); Subsidies and other transfers, % of expense (GC.XPN.TRFT.ZS); Interest payments, % of expense (GC.XPN.INTP.ZS); Other expense, % of expense (GC.XPN.OTHR.ZS); Interest payments, % of revenue (GC.XPN.INTP.RV.ZS); General government final consumption expenditure, % of GDP (NE.CON.GOVT.ZS).
License: CC BY-4.0. Retrieved 2026-07-12.

About the Indicators

Expense, % of GDP. Total government expense — all cash payments for operating activities and transfers — as a share of GDP.

Compensation of employees, % of expense. The share of government expense paid as wages, salaries and social contributions to public employees.

Goods and services expense, % of expense. The share of government expense spent on goods and services used in the production of public services.

Subsidies and other transfers, % of expense. The share of government expense paid as subsidies, grants and social benefits to households, businesses and other governments.

Interest payments, % of expense. The share of government expense paid as interest on public debt.

Other expense, % of expense. The share of government expense not classified under compensation, goods and services, transfers or interest.

Interest payments, % of revenue. Interest paid on public debt, expressed as a share of total government revenue — a measure of the interest burden on the public purse.

General government final consumption expenditure, % of GDP. Government current spending on goods and services (including compensation of employees), a national-accounts measure distinct from total government expense.