Denton highlighted the confidence portrayed in the current government and the country’s strong institutionalism, mentioning that after the Nicaraguan elections, the country’s banks paid an average of 4.25 percent for a fixed term deposit in the country’s currency (Cordoba), while other Central American countries –with local currency– paid approximately 6 percent, nearly two percentage points above the Nicaraguan rate.
“Most currency in circulation, including the Cordoba, depend on the trust its users have in the government that issues them”, mentioned Denton, adding that Nicaragua’s situation contrasts that of Guatemala, where the Quetzal lost value against the dollar during its election period, which ended on November 6th.
Another key factor in Nicaragua’s economic development, according to Denton, is its high security level. “Violence in Guatemala is driving domestic and international investment away; Nicaragua in contrast, is the least violent country in the region. You are still able to walk at night on Nicaraguan territory, something that in the rest of the Central American countries, including Costa Rica, you’re not able to do”.
The country’s economic stability, along with its competitive advantages, has led to a sustained growth in foreign direct investment (FDI) attraction in the country. Denton even mentions that “more investment projects are announced for 2012 in sectors such as tourism and other industries”.
Carlos Denton is a pioneer in conducting public opinion surveys and marketing studies throughout Central America. He has a Ph.D. in Political Science and a Masters in Economics; he was a professor at three universities including Costa Rica’s National University in Heredia.
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PRONicaragua is the Nicaraguan Investment Promotion Agency, established in 2002. It is a non-profit, public-private institution whose mission is to generate economic growth and job creation in Nicaragua by attracting high-quality foreign direct investment. The agency provides complimentary support services to qualified investors seeking investment opportunities in our country.