Oct. 24, 2012
-- The 2013 Doing Business Report, recently published by the World Bank, revealed that Nicaragua improved a position in its overall ranking with positive developments in the Trading Across Borders, and Resolving Insolvency categories. This is the third consecutive year the country has improved its position within the report, which demonstrates a positive impact of the various efforts carried out to improve the country’s investment climate.
According to the report, whose goal is to provide an objective basis for understanding and improving the regulatory environment for business in 185 economies around the world, Nicaragua ranked in the 119th position. The improvement includes leaps of up to five positions in the Resolving Insolvency measurement. Due to a modification in the report’s measurement methodology, the positions published last year were revaluated and recalculated. According to this analysis, the country would have been in the 120th position in the 2012 edition.
At a regional level, Nicaragua outranked the rest of the Central American countries in the categories of Protecting Investors, Enforcing Contracts and Resolving Insolvency. Additionally, all countries in the region improved their position, except El Salvador who lowered two spots in the ranking.
The Government of Nicaragua has continued implementing measures this year that will have a positive effect on the country's business climate and ultimately in next year’s ranking. Additionally, various initiatives to continue fostering a positive investment climate are being prepared, positively affecting the country’s position in the report by formulating new proposals for the simplification of processes that regulate the economic activity.
“The best indicator of a country’s business climate is the results it obtains in promoting and attracting investments, which in turn build confidence in new investors who will then visit these countries. Nicaragua has already demonstrated being one of the most dynamic economies in terms of attracting investment in Latin America and the Caribbean”, commented Javier Chamorro Rubiales, Executive Director of PRONicaragua.
In 2011, Nicaragua reached the record figure of US$968 million, a 91 percent growth compared to last year’s figures. This year the country projects to surpass the US$1,000 million. Additionally, the Central Bank of Nicaragua recently announced that the country’s GDP growth during 2012 will reach 4.1 percent, while the Latin Business Chronicle indicated that Nicaragua reached the highest FDI/GDP ratio in 2011 with 10.4 percent.