Q24N (Confidencial) The economic policies implemented by the regime of Daniel Ortega and Rosario Murillo over the past two years aim to “shield” Nicaragua from potential external shocks, according to three economists consulted by CONFIDENCIAL.
US actions—including those taken in Venezuela—and global conflicts top the list of risks to consider.
A drop in remittances and reduced foreign investment and loan inflows are also among the external factors that could affect the performance of the Nicaraguan economy.
In the last 24 months, the regime has taken several steps to mitigate potential problems. While the freezing of the córdoba’s exchange rate against the dollar took effect on January 1, 2024, the creation of Special Economic Zones (SEZs) was formalized on October 29, 2025.
In the process, gross international reserves have increased. At the same time, the search for external resources continued unabated, given the closure of traditional bilateral and multilateral sources that supplied the country with dollars.
While there is a consensus that it is normal—even obligatory—for a government to make decisions to prepare for difficult times, the economists consulted see these decisions as a form of self-preservation by the regime for when those times arrive. The most tragic aspect for the nation as a whole is that these difficult times could arrive as a logical reaction to the dictatorship’s decisions that violate citizens’ rights.