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Country Profile: Nicaragua

Nicaragua is the largest country in Central America, bordered by the Caribbean Sea and the North Pacific Ocean, situated between Costa Rica and Honduras. The nation has a population of approximately 6.7 million, predominantly residing in the western half of the country, with urbanization concentrated in the capital, Managua. Nicaragua's economy, traditionally reliant on agriculture and remittances, faces challenges from political instability and natural disasters. Governed as a presidential republic, Nicaragua has seen significant centralization of power, particularly under the leadership of President Daniel Ortega.

Geography

Nicaragua’s diverse geography features extensive Atlantic coastal plains and central interior mountains, with the highest point being Mogotón at 2,085 meters. The country covers an area of approximately 130,370 square kilometers, making it slightly larger than Pennsylvania. With a coastline of 910 kilometers and the largest freshwater body in Central America, Lago de Nicaragua, it experiences a tropical climate in lowlands and cooler temperatures in the highlands.

  • Area: 130,370 sq km (total)
  • Coastline: 910 km
  • Major lakes: Lago de Nicaragua (8,150 sq km) and Lago de Managua (1,040 sq km)
  • Natural hazards: prone to earthquakes, volcanoes, and hurricanes
  • Natural resources: contain gold, silver, copper, and timber

People and Society

Nicaragua has an estimated population of 6,739,380 in 2025, with a majority identifying as Mestizo. The country is linguistically homogeneous, with 99.5% of the population speaking Spanish, although English and Indigenous languages are present in coastal regions. The predominant religion is Roman Catholicism, followed closely by Protestantism.

  • Median age: 29.5 years (2025)
  • Urban population: 59.8% of total population (2023)
  • Birth rate: 16.07 births/1,000 population (2025)
  • Life expectancy: 74.7 years (2024)
  • Population growth rate: 0.92% (2025)

Economy

Nicaragua is regarded as a low-income economy that has faced significant struggles since 2018 due to political instability and external shocks such as natural disasters and COVID-19. Despite these challenges, the economy had shown nearly two decades of sustained GDP growth prior. In 2024, the Real GDP (purchasing power parity) is estimated at $52.989 billion.

  • GDP per capita: $7,700 (2024)
  • Unemployment rate: 4.6% (2024)
  • Remittances: 26.6% of GDP (2024)
  • Inflation rate: 4.6% (2024)
  • Poverty rate: 24.9% of the population below the national poverty line (2016 est.)

Government

Nicaragua is a presidential republic with a governance structure that has seen the consolidation of power under President Daniel Ortega, in office since 2007. The country has a unicameral National Assembly with 91 members, where elections have been marred by irregularities. The government has a history of civil law, with the latest constitution adopted in 1986.

  • Independence: 15 September 1821
  • Last presidential election: 7 November 2021
  • Number of departments: 15 and 2 autonomous regions

Military and Security

Nicaragua's military, known as the Army of Nicaragua, consists of Land, Naval, and Air Forces, with an estimated 12,000 active personnel. The military plays a significant role in both national defense and domestic security. In 2024, military expenditures account for approximately 0.5% of GDP.

  • Military expenditures: 0.5% of GDP (2024)
  • Military service age: 18-30 years for voluntary service
  • Equipment: predominantly secondhand Russian or Soviet-era military hardware

Energy

The country has made strides in electricity access, with 86.5% of the population receiving electricity as of 2022. Energy production is derived from various sources, including fossil fuels, hydroelectricity, and geothermal energy, with a total installed generating capacity of 1.849 million kW.

  • Consumption: 4.654 billion kWh (2023)
  • Electricity imports: 1.125 billion kWh (2023)
  • Access in urban areas: 100%; rural areas: 66.3%

Transportation

Nicaragua has a developing transportation infrastructure, with 39 airports and several key ports such as Bluefields and Corinto. The merchant marine fleet comprises five vessels, contributing to the economy's logistics and trade capabilities.

  • Total ports: 5 (2024)
  • Civil aircraft: 39 (2025)
  • Merchant marine: 5 (2023)

Communications

In terms of telecommunications, Nicaragua has made significant progress with 7.33 million mobile subscriptions as of 2024, reflecting a high penetration rate. The country also boasts a growing internet user base of 58% of the population.

  • Fixed-line subscriptions: 234,000 (2023)
  • Broadband subscriptions: 371,000 (2023)
  • Telephones - mobile subscriptions: 106 per 100 inhabitants (2024)

Key Metrics

MetricValueNote
Population6,739,380 (2025 est.)
Area130,370 sq kmTotal area
GDP (PPP)$52.989 billionEstimate for 2024
GDP per capita$7,700Estimate for 2024
Unemployment rate4.6%Estimate for 2024
Birth rate16.07 births/1,000Estimate for 2025
Life expectancy74.7 yearsEstimate for 2024
Military expenditures0.5% of GDPEstimate for 2024
Electricity access86.5%Access in 2022
Urban population59.8%Percentage of total population (2023)