Booker T. Washington High School
Model United Nations Club
Country Briefing: Nicaragua
Nicaragua is a small and poor Central American nation of about 5 million people. It is struggling to move beyond a decade of political violence and revolution in the 1980s to promote economic development and national reconciliation.
History: Nicaragua has long been the home of various Indian tribes. Spanish immigrants arrived as conquerors in the 16th century, bringing with them African slaves and a racial social order. The Spanish Empire was based on the caudillo system, where local strong men determined matters of law and government. Independence from Spain came in 1821, when a revolution brought on a large Central American state. This arrangement proved untenable, leading Nicaragua and other territories to declare their independence in 1838. Chaotic government followed, including a period in the 1850s when an American adventurer, William Walker, controlled the state. Later, economic development came, based on agriculture. Large plantations produced bananas and other cash crops for export to the United States. Nicaragua was a contender for the Canal that ultimately went through Panama in the early 20th century. Power continued to be concentrated in the hands of a few wealthy landowners of European descent, backed by the military and the United States. In the 1920s and 1930s many of the peasants, or campesinos, revolted against this social order under the leadership of the Marxist Ernesto Sandino. The United States sent in Marines for several years to combat this threat, which ended with a government victory. After WWII, rule passed to the Somoza family, a dictatorship similar to the Battista regime in Cuba. The Somozas and their allies grew rich through official corruption even while poverty grew in the countryside. In 1973, the government even diverted money for earthquake relief to their Swiss bank accounts. By the late 1970s, this had provoked another revolt, led by a communist group known as the Sandinistas. When the Somozas could no longer pay their National Guard, the government collapsed. The Sandinistas instituted a communist state, nationalizing property, establishing rural farm collectives, and clamping down on opposition groups. Freedom of the press, habeas corpus and religious freedom all suffered in the name of achieving social revolution. The Sandinistas even went so far as to support communist guerillas in nearby El Salvador. American president Ronald Reagan, elected in 1980, targeted the Sandinista regime as a communist incursion in America’s backyard. He funded former Guardsmen and opposition forces as anti-communist guerillas – the so-called “contras.” These contras disrupted the infrastructure and halted many Sandinista programs in the countryside, but could not directly challenge the government forces. The contra program continued even after Congress placed a ban on US funding, as members of the Reagan administration pursued illegal back channels in what became known as the “Irancontra Affair.” Ultimately, a combination of military and economic pressure isolated the Sandinista regime, which was forced to call elections in 1990. Democratic parties won the election, instituting a new government based on greater respect for human rights and open political competition. Since then, Nicaragua has struggled to overcome the devastation of war and rebuild a shattered economy. Heavy foreign debts compound the problem, along with income inequity, a crumbling infrastructural system and rural poverty.
Diplomatic Agenda: Nicaragua’s top priority is economic. It desperately needs foreign aid, IMF loans and sources of foreign direct investment (FDI). For the time being, all other concerns are secondary. It must emphasize its natural resources, low wages and an investment-friendly atmosphere to attract foreign business, and find ways to draw more aid dollars from Washington. This may mean cooperating on other matters, such as the war on drugs. Since drugs are being smuggled through Nicaragua, the government can offer to help the US Drug Enforcement Agency with intelligence. Nicaragua can also request assistance in training the armed forces. Making them a law-abiding organization capable of keeping the peace is a priority, and US assistance with this training might help. On the other hand, becoming too friendly with the US would anger many of those who still harbor resentment from the war of the 1980s. Human rights is another important issue. Nicaragua will want to draw praise for its improvements since 1990, rather than bring up the horrors of the war. Too many people on both sides of the line have blood on their hands. Finally, Nicaragua has lots of environmental resources and a varied terrain. Perhaps the creation of nature preserves like those in Costa Rica would attract eco-tourists, but some source of initial investment would be necessary. Otherwise, Nicaragua is just too poor to allocate the resources.
Of course, Nicaragua also wants to build friendlier relations with neighbors like El Salvador, Costa Rica and Panama.