Seminar paper from the year 2019 in the subject Business economics -
Economic Policy, grade: 2, University of Vigo, language: English,
abstract: This essay will examine how the political crisis impacts on
the economic development by analysing some of the characteristic numbers
of the Nicaraguan economy. First it will explain poverty and inequality
which are one of the main problems in the country. Then, it will focus
on economic growth and the importance of the tourism sector. After that
it will take a short look at Nicaragua's performance in the GCI. Earlier
this year Nicaragua was named "The other Venezuela of Latin America" by
the economic newspaper Portafolio due to its economic crisis which is
the worse of the last thirty years caused by socio-political and
humanitarian conflicts. Although Nicaragua is considered one the poorest
country in Latin America it had one of the fastest-growing economies.
Since April 2018, Nicaragua has been in a severe crisis. After the
violent suppression of pro-tests against a social security reform, 325
people died, more than 2000 were injured and about 800 people were
arrested. Furthermore, around 70.000 people left the country - most of
them are fleeing south for Costa Rica. International human rights
organizations accuse the state of systematic and serious human rights
violations. The government rejects the accusations and accuses its
opponents of a political campaign. According to its constitution,
Nicaragua is a presidential democracy with a one-chamber parliament.
Daniel Ortega has been president since 2007. After the Sandinista
revolution against the dictator Anastasio Somoza in 1979, he ruled the
country authoritarian for eleven years with a social reform agenda.
Government, administration, judiciary and the ruling party Frente
Sandinista de Liberación Nacional (FSLN) are closely intertwined. The
2016 elections took place without international election observation.
The international community is engaged in various ways t
