Foreign relations of Nicaragua

Nicaragua pursues an independent foreign policy. A participant of the Central American Security Commission (CSC), Nicaragua also has taken a leading role in pressing for regional demilitarization and peaceful settlement of disputes within states in the region.

Politics of Nicaragua
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Foreign relations
  • Ministry of Foreign Affairs
    Minister: Denis Moncada Colindres
 Nicaragua portal

Nicaragua has submitted three territorial disputes, one with Honduras, another with Colombia, and the third with Costa Rica to the International Court of Justice for resolution.

International membership

At the 1994 Summit of the Americas, Nicaragua joined six Central American neighbors in signing the Alliance for Sustainable Development, known as the Conjunta Centroamerica-USA or CONCAUSA, to promote sustainable economic development in the region.

Nicaragua belongs to the United Nations and several specialized and related agencies, including:

International disputes
Main article: Territorial disputes of Nicaragua

International relations with IGOs and countries

Nicaragua signed a 3-year Poverty Reduction and Growth Facility (PRGF) with the International Monetary Fund (IMF) in October 2007. As part of the IMF program, the Government of Nicaragua agreed to implement free market policies linked to targets on fiscal discipline, poverty spending, and energy regulation. The lack of transparency surrounding Venezuelan bilateral assistance, channeled through state-run enterprises rather than the official budget, has become a serious issue for the IMF and international donors. On September 10, 2008, with misgivings about fiscal transparency, the IMF released an additional $30 million to Nicaragua, the second tranche of its $110 million PRGF.[1]

The flawed municipal elections of November 2008 prompted a number of European donors to suspend direct budget support to Nicaragua, a move that created a severe budget shortfall for the government. This shortfall, in turn, caused the Government of Nicaragua to fall out of compliance with its PRGF obligations and led to a suspension of PRGF disbursements. The IMF is currently in negotiations with the Government of Nicaragua to reinstate disbursements.[1]

Under current president Daniel Ortega, Nicaragua has stayed current with the Central American-Dominican Republic Free Trade Agreement, which entered into force for Nicaragua on April 1, 2006. Nicaraguan exports to the United States, which account for 59% of Nicaragua's total exports, were $1.7 billion in 2008, up 45% from 2005. Textiles and apparel account for 55% of exports to the United States, while automobile wiring harnesses add another 11%.[1]

Other leading export products are coffee, meat, cigars, sugar, ethanol, and fresh fruit and vegetables, all of which have seen remarkable growth since CAFTA-DR went into effect. Leading Nicaraguan exports also demonstrated increased diversity, with 274 new products shipped to the United States in the first year. U.S. exports to Nicaragua, meanwhile, were $1.1 billion in 2008, up 23% from 2005. Other important trading partners for Nicaragua are its Central American neighbors, Mexico, and the European Union. Nicaragua is negotiating a trade agreement with the European Union as part of a Central American bloc.[1]

Despite important protections for investment included in CAFTA-DR, the investment climate has become relatively insecure since Ortega took office. According to the United States State Department, President Ortega's decision to support "radical regimes" such as Iran and Cuba, his harsh rhetoric against the United States and capitalism, and his use of government institutions to persecute political enemies and their businesses, has had a negative effect on perceptions of country risk, which by some accounts has quadrupled since he assumed office. The government reports foreign investment inflows totaled $506 million in 2008, including $123 million in telecommunications infrastructure and $120 million in energy generation.[1]

There are over 100 companies operating in Nicaragua with some relation to a U.S. company, either as wholly or partly owned subsidiaries, franchisees, or exclusive distributors of U.S. products. The largest are in energy, financial services, textiles/apparel, manufacturing, and fisheries. However, many companies in the textile/apparel sector, including a $100 million U.S.-owned denim mill, have shuttered during the past 12 months due to falling demand for these goods in the United States.[1]

Poor enforcement of property rights deters both foreign and domestic investment, especially in real estate development and tourism. Conflicting claims and weak enforcement of property rights has invited property disputes and litigation. Establishing verifiable title history is often entangled in legalities relating to the expropriation of 28,000 properties by the revolutionary government that Ortega led in the 1980s. The situation is not helped by a court system that is widely believed to be corrupt and subject to political influence.[1]

Illegal property seizures by private parties, occasionally in collaboration with corrupt municipal officials, often go unchallenged by the authorities, especially in the Atlantic regions and interior regions of the north, where property rights are poorly defined and rule of law is weak. Foreign investor interest along the Pacific Coast has motivated some unscrupulous people to challenge ownership rights in the Departments of Rivas and Chinandega, with the hope of achieving some sort of cash settlement.[1]

Bilateral relations
Country Formal Relations Began Notes
 Argentina
 Armenia Both countries established diplomatic relations on 6 July 1994.
 Azerbaijan 23 November 1994[2]
  • Azerbaijan is represented in Nicaragua through its embassy in Havana, Cuba.
  • Nicaragua is represented in Azerbaijan through its embassy in Moscow, Russia.
 Belize
  • Belize is accredited to Nicaragua from its embassy in Guatemala City.
  • Nicaragua is accredited to Belize from its embassy in Guatemala City.
 Bolivia
  • Bolivia has an embassy in Managua.
  • Nicaragua has an embassy in La Paz.
 Brazil
  • Brazil has an embassy in Managua.
  • Nicaragua has an embassy in Brasilia.
 Canada
  • Canada has an embassy office in Managua.
  • Nicaragua is accredited to Canada from its embassy in Washington, D.C., United States.
 Chile
  • Chile has an embassy in Managua.
  • Nicaragua has an embassy in Santiago.
 China1985 (With the People's Republic of China)[3]

Nicaragua established diplomatic relations of the nationalist government of Republican China in 1930 but maintained relations after the central government of the Republic of China retreated to Taiwan after declaring the establishment of the People's Republic of China in 1949. After the Sandinista National Liberation Front took power in 1979, Nicaragua recognized the PRC on 7 December 1985 until 9 November 1990 when FSLN was defeated and resumed relations with the ROC, which continued under Daniel Ortega's presidency since 2007. On 9 December 2021, Nicaragua resumed relations with the PRC.[4]

 ColombiaSee Colombia–Nicaragua relations

The relationship between the two Latin American countries has evolved amid conflicts over the San Andrés y Providencia Islands located in the Caribbean close to the Nicaraguan shoreline and the maritime boundaries covering 150,000 km2 that included the islands of San Andres, Providencia and Santa Catalina and the banks of Roncador, Serrana, Serranilla and Quitasueño as well as the arbitrarily designed 82nd meridian west which Colombia claims as a border but which the International Court has sided with Nicaragua in disavowing.[5] The archipelago has been under Colombian control since 1931 when a treaty was signed during US occupation of Nicaragua, giving Colombia control over the islands.

  • Colombia has an embassy in Managua.
  • Nicaragua has an embassy in Bogotá.
 Costa Rica
 Cuba
  • Cuba has an embassy in Managua.
  • Nicaragua has an embassy in Havana.
 DenmarkSee Denmark–Nicaragua relations
  • Denmark is accredited to Nicaragua from its embassy in Mexico City, Mexico.
  • Nicaragua is accredited to Denmark from its embassy in Helsinki, Finland.
 El Salvador
  • El Salvador has an embassy in Managua.
  • Nicaragua has an embassy in San Salvador.
 FinlandSee Finland–Nicaragua relations

Finland is a significant donor of aid to Nicaragua. In 2007, total aid amounted to around EUR 14.5 million. The cooperation focused on rural development, health care and supporting local government.[6] In 1992, the Finnish government announced an aid program of US$27.4 million.[7]

In 2006, the Finnish government pledged 4.9 million euros to help the Nicaraguan government integrate the ICT systems of 20 town councils.[8] In 2008, the Finnish government revoked a 1.95 million euro aid package meant for Nicaragua in protest of what it alleged was a lack of transparency in Nicaragua's national budget and its municipal elections.[9]

In 2004, Finnish President Tarja Halonen visited Nicaragua[10] where she stated "The Finnish government and Parliament have decided that Nicaragua is one of the main targets of Finnish development aid. However, the visit has shown that Finland is not only giving money - it is also interested in what is happening here".[11] The Finnish President also made a speech to the National Assembly of Nicaragua on 31 May 2004.[12] In 2003, the two countries signed the Agreement for the Promotion and Reciprocal Protection of Investments>

In February 2012, Finland made decision to stop development aid to Nicaragua. The main reason was concern over the state of the democracy in Nicaragua.[13]

  • Finland is accredited to Nicaragua from its embassy in Mexico City, Mexico.
  • Nicaragua has an honorary consulate in Helsinki.[14]
 GreeceSee Greece–Nicaragua relations
  • Greece is accredited to Nicaragua through its embassy in Mexico City, Mexico.
  • Nicaragua is accredited to Greece through its embassy in Rome, Italy.
 Guatemala
  • Guatemala has an embassy in Managua.
  • Nicaragua has an embassy in Guatemala City.
 Guyana23 November 1981
  Holy See1956See Holy See–Nicaragua relations
  • Holy See an Apostolic Nunciature in Managua.
  • Nicaragua has an embassy in Rome to the Holy See.
 Honduras
  • Honduras has an embassy in Managua.
  • Nicaragua has an embassy in Tegucigalpa.
 IndiaSee India-Nicaragua relations
 Iran
  • Iran has an embassy in Managua.
  • Nicaragua has an embassy in Tehran
 IsraelIsrael was the last country that still shipped weapons to the embattled Anastacio Somoza regime in 1978–1979 (the dictator's father had supported Israel in 1948, establishing a "special relationship" between Nicaragua and Israel), becoming the regime's main supplier of arms, after the Carter administration had cut off supplies amid the public outcry over Somozista troops' atrocities.[19] This soured the relations with the -Sandinista government; the relations were then gradually normalized.
 Mexico1838See Mexico–Nicaragua relations
 Panama
  • Nicaragua has an embassy in Panama City.
  • Panama has an embassy in Managua.
 RussiaDecember 1944See Nicaragua–Russia relations

Both countries signed diplomatic missions on October 18, 1979, a few months after the Sandinista revolution.[22] President Vladimir Putin visited Nicaragua on July 12, 2014.

  • Nicaragua has an embassy in Moscow.
  • Russia has an embassy in Managua.
 South KoreaJanuary 1962[23]

The establishment of diplomatic relations between the Republic of Korea and the Republic of Nicaragua began in January 1962.[23]

  • Nicaragua has an embassy in Seoul.[24]
  • South Korea has an embassy in Managua.[25]
 Spain20 March 1851See Nicaragua–Spain relations
  Switzerland1956
Swiss Cooperation Office in Managua

Relations with Nicaragua and Switzerland focus on development cooperation, humanitarian aid and trade.

  • Nicaragua is accredited to Switzerland from its embassy in Berlin, Germany.
  • Switzerland is accredited to Nicaragua from its embassy in San José, Costa Rica and maintains a Swiss cooperation office in Managua.[27]
 TunisiaJuly 2, 2019[28]

The establishment of diplomatic relations between the Republic of Tunisia and the Republic of Nicaragua began on July 2, 2019.[28]

 TurkeyNov. 11, 1926[29]See Nicaragua–Turkey relations
  • Turkish embassy in San José, Costa Rica is accredited to Nicaragua.[29]
  • Nicaraguan embassy in Berlin is accredited to Turkey.[29]
  • Trade volume between the two countries was US$11.6 million in 2019 (Nicaraguan exports/imports: 0.5/11.1 million USD).[29]
 United States1824; 1849See Nicaragua–United States relations
Embassy of Nicaragua in Washington, D.C.
 Uruguay1849See Nicaragua–Uruguay relations
Embassy of Nicaragua in Montevideo
 Venezuela1979

Venezuela and Nicaragua have had diplomatic relations since January 1979. During the Venezuelan government of Carlos Andrés Pérez, they helped FSLN to overthrow regime of longtime Nicaraguan dictator Anastasio Somoza Debayle. Relations between Nicaragua and Venezuela have significantly improved during the Presidency of Hugo Chávez. In 2007 Nicaragua became a formal member of the Bolivarian Alliance for the Americas (ALBA) international cooperation organization and the Caribbean oil alliance Petrocaribe. In the recent years Nicaragua has received discounted oil from Venezuela with low payments. The presidents of Venezuela and Nicaragua, President Hugo Chávez and President Daniel Ortega, have both described themselves as good friends and visited one another's nations.

  • Nicaragua has an embassy in Caracas.
  • Venezuela has an embassy in Managua.

States with limited recognition

The following table includes Republic of China, Georgia, and some of the states with limited recognition:

Name Recognized by Nicaragua Notes
 AbkhaziaSee Abkhazia–Nicaragua relations

Nicaragua recognized Abkhazia[31] and South Ossetia[32] on September 5, 2008.

At a press conference in November 2008, Nicaraguan Foreign Minister Samuel Santos López said, "Certainly, we think that the decision [to recognize independent Abkhazia and South Ossetia] was fair and appropriate. They [the republics] must be given time for inner formalities. We will coordinate the possibility and terms of direct diplomatic relations at a convenient moment. Obviously and logically, we will be acting via our friends, probably Russia, to establish closer contacts and diplomatic relations [with the republics]."[33]

 Palestine Yes
  • Palestine has an embassy in Managua.[34]
  • Nicaraguan foreign minister, Denis Moncada, has publicly expressed solidarity with Palestinian statehood and called for "an end to the Israeli occupation of Palestinian territories," and the "liberation of Palestinian prisoners."[35]
 Sahrawi Arab Democratic Republic Yes Recognized by 34 UN states, claimed by Morocco.
 South Ossetia Yes See Nicaragua–South Ossetia relations

Nicaragua extended diplomatic recognition to South Ossetia[32] and Abkhazia[31] on 5 September 2008. After the recognition was announced, the Nicaraguan Foreign Ministry stated that they would immediately establish ties with Tskhinval and would eventually appoint an ambassador to the republic. At a press conference in November 2008, Nicaraguan Foreign Minister Samuel Santos López said, "Certainly, we think that the decision [to recognize independent Abkhazia and South Ossetia] was fair and appropriate. They [the republics] must be given time for inner formalities. We will coordinate the possibility and terms of direct diplomatic relations at a convenient moment. Obviously and logically, we will be acting via our friends, probably Russia, to establish closer contacts and diplomatic relations [with the republics]."[33]

The recognition of South Ossetia by Nicaragua triggered immediate reactions from other countries involved in the dispute over the status of South Ossetia. Georgia responded to Nicaragua's concurrent recognition of Abkhazia and South Ossetia by cutting diplomatic relations with the Central American state at the end of November 2008.[36] Russia offered to strengthen ties with Nicaragua and to provide aid to Nicaragua to help rebuild areas damaged by hurricanes.[37] The U.S. Secretary of Commerce canceled a planned trip to Nicaragua, with the U.S. Ambassador in Managua saying, "It isn't the appropriate moment for the visit."[38]

 Sovereign Military Order of Malta Yes[39] A sovereign entity without territory, established diplomatic relations with 104 states.
 TaiwanNo

Nicaragua used to maintain official diplomatic relations with the Taiwan instead of the People's Republic of China. In 2007, President Daniel Ortega stated that Nicaragua will maintain its diplomatic ties with the Taiwan. Ortega defended Nicaragua's right of having diplomatic relations with the Taiwan and China at the same time and insisted that Nicaragua will not break its diplomatic relations with Taiwan and Vice-president Jaime Morales Carazo (during Ortega's first tenure) criticized the People's Republic of China for conditioning Nicaragua's diplomatic relations. Nicaragua maintained its diplomatic relations with the Taiwan until 2021.[40] On December 9, 2021, Nicaragua broke off diplomatic relations with the Republic of China and recognised the PRC as the legitimate Chinese government.[41]

See also

References
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  5. "Travel". Los Angeles Times.
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  14. Honorary consulate of Nicaragua in Helsinki
  15. "Countries with which Guyana has Establishment Diplomatic Relations – Ministry of Foreign Affairs | Co-operative Republic of Guyana".
  16. "MEA | Indian Missions Abroad | Indian Mission". mea.gov.in.
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  20. "Inicio".
  21. [http://www.sre.gob.mx/acreditadas/index.php?option=com_content&id=122:88&catid=35} Archived November 29, 2014, at the Wayback Machine
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  41. Karol Suarez, Isa Soares and Ben Westcott. "Nicaragua ends relations with Taiwan in diplomatic victory for China". CNN. Retrieved 2021-12-10.
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