Analysis by Region - Emerging Markets - Nicaragua

Analysis by Region - Emerging Markets - Nicaragua

Nicaragua's 2023 GDP outlook remains broadly unchanged at just 0.7% growth following an upside revision to national accounts since the start of the Ortega-induced recession in 2018. We expect the economy to grow by just 0.2% next year as political repression continues to weigh on the business environment and the gains from higher export prices fade. Moreover, risks are tilted to the downside as droughts during the "El Niño" season could dampen production of the country's key agricultural exports, like coffee and meat.