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Latin American Economy & Business - February 2018 (ISSN 1741-7430)

Nicaragua: An oasis of stability in a turbulent region

Nicaragua remains an outlier in Central America. Governed by a radical left-wing socialist government, the country stands out for its stability, security and steady economic growth. Thanks to its safe environment, diverse landscape, architecture and rich cultural heritage, it now has a thriving tourism industry, with Nicaragua a ‘must see’ on top destination lists for 2018. US tourists, including legions of surfers and big-spending retirees, are heading to the country in increasing numbers every year. It also has one of most attractive – and transparent – investment environments in the region, with strong inflows of FDI from the US, China and elsewhere driving growth in recent years. With both the US congress and the administration led by President Donald Trump taking an increasingly dim view of the left-wing government, however, there is some concern about prospects moving forward.

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