ICSID Convention Re-Enters into Force for Honduras

The ICSID Convention re-entered into force for Honduras on 16 August 2026, following the State's deposit of its instrument of ratification with the World Bank on 17 July. Honduras had re-signed the ICSID Convention on 6 March 2026. Under Article 68(2) of the ICSID Convention, ratification becomes effective 30 days after deposit of the instrument, resulting in Honduras's renewed participation in the ICSID Convention framework from 16 August.

The development reverses the position created by Honduras's earlier denunciation. The World Bank received Honduras's notice of denunciation on 24 February 2024 and, pursuant to Article 71 of the ICSID Convention, that denunciation became effective on 25 August 2024. Honduras has therefore returned to the ICSID Convention less than two years after its withdrawal took effect.

The legal significance of the return should be distinguished from consent to investor-State arbitration in any individual case. Membership in the ICSID Convention does not by itself constitute consent by a State to arbitrate investment disputes. Article 25 requires consent in writing, which may arise separately through an investment treaty, investment legislation, contract or another qualifying instrument. Honduras's return therefore restores the availability of the ICSID Convention framework where the relevant jurisdictional requirements, including consent, are independently satisfied.