The MOU states that Nicaragua’s canal will have two main components: a traditional waterway for ships and a dry canal railroad for freight. Both canals will link deep water ports on the Caribbean and Pacific coasts.
In addition to financing and building the canals, the memorandum states that HK Nicaragua Canal Development Investment Co. Ltd. will also build a deep-water port in Monkey Point, located on the southern Caribbean coast. The agreement also commits the Chinese company to completely remodeling Nicaragua’s main port, Corinto, on the Pacific coast.
During a meeting with HK Nicaragua Canal Development Investment Co. Ltd., the President of Nicaragua, Daniel Ortega Saavadra, offered the government’s full support for the development of these projects, highlighting that this is an “important news for our country and for the Central American region, as we will all benefit from it”.
During the press conference held to announce the MOU, Mr. Wang Jing, President of Xinwei, mentioned that the company has fostered a close relationship with the Government of Nicaragua, adding that “the process has been a success. We will invest in the future of Nicaragua with Chinese technology and intellectual property”. Mr. Jing mentioned these projects will allow Nicaraguans to have access to the best technology currently available.
Xinwei Telecom Enterprise Group, with its 17 years of telecom R&D, aims to create a complete telecom and information industry chain featuring R&D, product manufacturing, sales and marketing, customer services, and network construction and operations. Their core markets include national defense and military industry, aerospace information network, telecom operation, public safety, and water conservancy, power, and transportation industries.