Business in Nicaragua Managua. Nicaraguan economy. Import export.

 Educational level: Continuing education / Executive education programs.

Course summary (Doing business in Nicaragua)

Doing business in Nicaragua. Nicaraguan International trade. FDI Foreign direct investment.

Nicaraguan economy. Foreign trade of Nicaragua.

Nicaragua is strategically located in the heart of the Americas: it is located at the center of the Central American isthmus that forms a land bridge between North and South America. It is bordered on its eastern and western shores by the Atlantic and Pacific oceans, respectively; to the north lies Honduras, and to the south Costa Rica. It is the largest country in Central America with a territory of approximately 130,600 square kilometers.

This privileged location, only two hours and thirty minutes by air and three days by sea from the United States (New York, Miami Florida, Los Angeles), facilitates access to the world’s largest market. Its location and cost structure also positions Nicaragua as an ideal export platform for the important markets of Mexico, Central and South America.

Doing business 2009, ranked Nicaragua as one of the top two countries with the most favorable conditions to conduct business in the Central American region. The report measures different sets of business environment indicators: starting a business, hiring and firing workers, enforcing contracts, getting credit, closing a business, registering property and protecting investors. Thus reinforcing what many have already discovered: an investment friendly country with vast potential and opportunities.

In the Latin American Globalization Index (2009), Nicaragua was ranked third most globalized country in Latin America for the second consecutive year.

Nicaragua has ratified Free Trade Agreements (FTA) with the United States, the Dominican Republic (DR-CAFTA), Taiwan - Nicaragua FTA, FTA Mexico - Nicaragua, Panama or Colombia. EU - Central America Association Agreement. CAFTA-DR United States - Central America- Dominican Rep FTA

Example of the course Doing business in Nicaragua (English):

As in other Latin American countries, there is a relationship between inflation and adjustments to the exchange rate with respect to the US dollar. Thus, over the last decade the Central Bank of Nicaragua established a "crawling-peg" exchange-rate system whereby small adjustments are planned in the national currency exchange rate against the US dollar. For 2009, the "crawl" with respect to the US dollar was established at 5%. This assures a high level of currency stability, while at the same time maintaining the country’s export competitiveness.

Economic Data (2008)
- GDP U.S. $ 6.4 billion
- Real GDP Growth 3.2%
- Total Exports U.S. $ 2.7 billion
- FDI as a percentage of GDP 9.9%
Source: Central Bank of Nicaragua.

Main export markets: United States, Central American Common Market, European Union (EU), Mexico, Japan. Suppliers: United States, Mexico, Costa Rica, Venezuela, Guatemala, El Salvador.

European Union and Central America Trade Relations:

Foreign Direct Investment (FDI) reached 434.2 million USD (2009), a reduction of 31 percent compared to 2008. Main sectors receptors of FDI: Energy, Telecommunications and Free Zones.

The Pellas Group, is one of the largest and most diversified business conglomerate of Central America. It is involved in the financial, agribusiness, energy, manufacturing, real estate, tourism, health, and retail industries in Central America, Panama, Mexico, and the United States.

Nicaragua has a 22,000km road network connecting Managua to all major cities. The Pan- American Highway (370 km long in the country) connects Nicaragua with Honduras and Costa Rica. The telecommunication sector is fully privatized and is considered to be one of the most modern in Central America.

Nicaragua's population is very young: 80% of the total population (5.8 million) is under the age of 39.

International Economic Relations. Nicaragua is member of: Central American integration system (SICA), Association of Caribbean States (ACS), Bolivarian Alternative for the Americas (ALBA), Latin American and Caribbean economic System (SELA), Inter-American Development Bank (IDB), Economic Commission for Latin America (ECLAC), Forum for East Asia-Latin America Cooperation (FEALAC), Organization of American States (OEA), World Bank, International Monetary Fund, World Trade Organization (WTO), United Nations ...

CAFTA-DR United States - Central America- Dominican Rep FTA:

Business, Nicaragua, Managua, Economy, Nicaraguan, Export, Doing business, Trade, Investment, foreign, Direct, FDI