Throughout Central America, Katrina produced heavy rains, estimated up to 15 in (380 mm) in mountainous areas, triggering mudslides and flash flooding.

By October 26, a broad area of low pressure, associated with disorganized shower and thunderstorm activity, developed over the southwestern Caribbean Sea.

[3] By the morning of October 29, a tropical wave, tracking towards the west, began to interact with the depression and leading to forecasters discussing a possible merger of the two systems.

[4] An upper-level anticyclone over the eastern Caribbean produced significant wind shear over the depression, preventing the center from moving under the deep convection.

[2] Within three hours, the storm weakened to a depression due to interaction with the mountains of Nicaragua and convection was limited to a small area on the western side of the center of circulation.

[9] Due to unfavorable conditions, the weakened system failed to regenerate convection before moving back over land near the northern Belize-Mexico border.

[11] By the evening of November 1, the depression weakened again and moved into the Gulf of Mexico; however, unlike previous forecasts, the circulation was absorbed by a cold front hours later.

Along the coastline of Honduras, a red alert was declared as torrential rains were anticipated to produce deadly mudslides in areas still recovering from Mitch nearly one year ago.

The International Organization for Migration helped relocate affected families and construct at least 300 new residences for victims of Katrina and Hurricane Mitch the year prior.