For nearly any product you can think of, there is a market in Nicaragua.
Nicaragua (officially the Republic of Nicaragua), is a representative democratic republic. It is the largest country in Central America with an area of 129,494 sq. km. (59,998 sq. mi.). The country is bordered by Honduras to the north and Costa Rica to the south. The Pacific Ocean lies to the west of the country, the Caribbean Sea to the east. The country’s Caribbean coast is part of the Western Caribbean Zone. Falling within the tropics, Nicaragua sits between 11 degrees and 14 degrees north of the Equator in the Northern Hemisphere. Nicaragua’s abundance of biologically significant and unique ecosystems contribute to Mesoamerica’s designation as a biodiversity hotspot. The capital city of Nicaragua is Managua. Roughly one quarter of the nation’s population lives in the Nicaraguan capital, making it the second largest city and metropolitan area in Central America.
Nicaragua at a Glance
1. Geography
Area: 129,494 sq. km. (59,998 sq. mi.); slightly larger than New York State.Cities: Capital–Managua (pop. 1.6 million).
Other major cities: Bluefields, Chinandega, Granada, Jinotega, Leon, Masaya, Matagalpa, and Rivas.
Terrain: Extensive Atlantic coastal plains rising to central interior mountains; narrow Pacific coastal plain interrupted by volcanoes.
Climate: Tropical in lowlands; cooler in highlands.
2. People
Nationality: Noun and adjective–Nicaraguan(s).Population (July 2010 est.): 5,955,928; density–42 per sq. km.
Annual growth rate (2009 est.): 1.784%.
Ethnic groups: Mestizo (mixed Amerindian and white) 69%, white 17%, black 9%, and Amerindian 5%.
Religion: Predominantly Roman Catholic, with rapidly growing Protestant congregations.
Languages: Spanish (official), English and indigenous languages on Caribbean coast.
Education: Years compulsory–none enforced (28% of first graders eventually finish sixth grade). Literacy–81%.
Health: Life expectancy–71.5 yrs. Infant mortality rate (2009 est.)–25 deaths/1,000 live births.
Work force (2010 est.): 2.3 million.
3. Economy
GDP (2009): $6.2 billion.GDP real growth rate (2009): -1.5%.
Per capita GDP (2009): $1,071.
Components of GDP (2009): Manufacturing–17.7% of GDP; agriculture, cattle, forestry and fishing–16.8% of GDP; retail, hotels, and restaurants–14.2% of GDP; government–12.6% of GDP; real estate–7.5% of GDP; personal services–6.6% of GDP; telecommunications and transportation–5.5% of GDP; financial services–5.1% of GDP; construction–4.7% of GDP; utilities–2.6% of GDP; mining–1.1% of GDP.
Inflation rate (2009): 0.93%.
Natural resources: arable land, fresh water, fisheries, gold, timber, hydro and geothermal power potential.
Trade (2009): National exports–$2.363 billion (f.o.b.): coffee, shrimp and lobster, beef, sugar, industrial goods, gold, bananas. Free trade zone exports–$972.2 million: mostly textiles and apparel, automobile wiring harnesses, cigars. Markets–United States, Central American Common Market, European Union (EU), Mexico, Japan. Imports–$3.47 billion (2009), primarily consumer goods, machinery and equipment, raw materials, and petroleum products. Free trade zone imports–$830.6 million. Suppliers–United States, Mexico, Costa Rica, Venezuela, Guatemala, El Salvador.
4. Principal Government Officials
President: Jose Daniel Ortega SaavedraVice President: Jaime Morales Carazo
Minister of Foreign Affairs: Samuel Santos
Minister of Finance: Alberto Jose Guevara Obregon
Minister of Industry and Commerce: Orlando Solorzano Delgadillo
Minister of Government: Ana Isabel Morales
Secretary General of the Ministry of Defense: Ruth Tapia Roa
Chief of the Armed Forces: General Julio Cesar Aviles Castillo
Chief of Naval Forces: Captain Roger Antonio Gonzalez Diaz
Ambassador to the United States: Francisco Obadiah Campbell Hooker
Ambassador to the United Nations: Maria Eugenia Rubiales de Chamorro
Ambassador to the Organization of American States: Denis Ronaldo Moncada Colindres
5. More About Economy
With a gross domestic product (GDP) of $6.2 billion and a per capita income of $1,071 in 2009, Nicaragua is the second-poorest country in the Western Hemisphere. The economy contracted by 1.5% in 2009, largely as a result of falling demand for Nicaraguan exports and decreased domestic investment. Official unemployment was 8%, but 65% of all workers earn a living in the informal sector, where underemployment is high. In 2009, Nicaraguans received $768 million in remittances from abroad, the majority from the United States. Total exports are equivalent to 39% of GDP.Because Nicaragua has abundant arable land and water resources, agriculture will always be an important component of the economy. About a third of GDP is derived from agriculture, timber, and fishing. Opportunities exist in food and timber processing and preparation for export. Currently, most agriculture is small-scale and labor intensive. Livestock and dairy production have seen steady growth over the past decade and have taken the greatest advantage of free trade agreements. Many export products, especially coffee, have benefited from the recent rise in international commodity prices.
Social indicators for Nicaragua have improved since 1991. The current population of Nicaragua is 5.9 million; life expectancy at birth is 71.5 years. Prenatal care coverage has steadily improved and infant mortality has dropped from 52 deaths per 1,000 live births in 1991 to 25 per 1,000. The country has achieved 85% vaccination coverage, and since 2004, infectious disease has fallen from fourth to fifth place among the leading causes of death, with the number of such deaths down nearly 50% since 1996. In 2007, the Minister of Education reported school enrollment as 86.5%. Nicaragua’s score on the United Nations Human Development Index rose by 40% from 1990 to 2004 (from 0.496 to 0.698). Despite these statistical gains, the benefits of economic development have been uneven. Blackouts, water shortages, and high energy prices disproportionately affect the poorest in the population. About 46% of the population lives on less than $1.15 a day.
