One of the first things Americans relocating or banking in Nicaragua want to ask is, "What's the infrastructure there like?"
In other words, it's important to expats and others interested in a country to wonder about the conditions of its roads, water system, electrical grid, industrial needs, and other foundational issues.
The good news is that Nicaragua is investing seriously in its infrastructure, recently approving $6.5 billion in maintenance and improvements for the Central American nation.
Oil and Refinery Infrastructure
Since oil products are a main export in Central America, Nicaragua has made sure its industrial infrastructure is getting what it needs to supply 40 percent of the entire region's refinery output. The first part of the project will be the construction of new and modern refining plants as well as facilities for storage and distributing liquified petroleum gases. The second part includes a pipeline for the transport of fuels, and the last stage will be the construction of factories to produce materials like polypropylene, polyethylene, and polyvinylchloride.
Rural Roads Infrastructure
Automobiles are everywhere in Nicaragua, and the roads in rural areas are getting $40 million worth of attention in a new project funded by the World Bank. Rural services and infrastructure make up 92 percent of the spending, with 4 percent targeted for infrastructure services for private sector development and another 4 percent for natural-disaster management.
With a $35-million loan from the Inter-American Development Bank, Nicaragua is making the improvement of its energy infrastructure a priority. The National Sustainable Electrification and Renewable Energy Program, also known by its Spanish acronym, PNESER, will increase from 65 percent to 85 percent the coverage over the entire country for its electricity grid, an improvement of more than 35 percent. This means an additional 1.7 million Nicaraguans will be able to enjoy the quality of life that comes with electricity. PNESER will also implement energy-efficiency measures to keep dependence on fossil fuels as low as possible.
The entire transportation grid in Nicaragua is of utmost importance for trade, tourism and daily life in the country. That is why Nicaragua recently invested almost $105 million into the transport infrastructure and changed how bidding programs work to more efficiently get the best work done for the lowest amount.
Also, the government is focusing on the infrastructure of international roads, which keep goods, people, and money moving smoothly in and out of the country.
With the billions invested in the improvement and maintenance of Nicaragua's industrial, road, and energy infrastructures in recent years, U.S. residents and others interested in the socioeconomic life of this Central American country should feel positive about the direction that the country has been heading in since the 1980s.
Any nation that wants to attract international banking and investment needs to have a world-class infrastructure, and this is what Nicaragua is building better every year.