August 31, 1987
President Daniel Ortega announced new austerity measures to keep Nicaragua's economy from sinking deeper into debt and blamed the problem on five years of war against U.S.-backed contras . The package includes higher prices for fuel and public transportation, tighter gasoline rationing and the elimination of 5,000 government jobs, mainly through attrition. Ortega said the measures were "made necessary by the wear and tear Nicaragua's economy has suffered because of the war of aggression."
June 8, 1990 |
The United States and more than 30 other donors pledged $300 million in aid to breathe new life into Nicaragua's economy, which has been exhausted by war and sanctions. Speaking at the end of a conference in Rome, President Francisco Mayorga of the Nicaraguan Central Bank said, "This is far more than we had even hoped for." The conference was called to pledge funds for an emergency package requested by the new U.S.-backed government of President Violeta Barrios de Chamorro.
September 23, 1990 |
The government said it will lay off 10,000 soldiers and 15,000 state workers as part of an austerity program to reduce the budget deficit and save Nicaragua's failing economy. Economy Minister Silvio de Franco said in Managua that Nicaragua is "on the edge of collapse like no other country in the world and there are no magical answers or fairy godmothers that can save the economic situation."
November 13, 1988 |
The Sandinista government is planning to postpone until 1990 municipal elections that were expected next year because it cannot afford to hold them amid a crushing economic crisis, Luis Carrion, the minister for economic affairs, said in an interview. Carrion is one of the nine top comandantes of the Sandinista National Liberation Front, the government party. They are the final decision makers in Nicaragua.
March 13, 1990 |
The Bush Administration today is expected to unveil a $300-million aid package for Nicaragua to help that nation's new democratically elected government resuscitate an economy devastated by years of U.S. sanctions and Sandinista rule. The package, hammered out in principle over the weekend by top Administration policy-makers, also would restore several hundred million dollars' worth of trade benefits that the United States cut off when it imposed an embargo on Nicaragua in 1985. U.S.
February 27, 1990 |
The Bush Administration's efforts to nurse Nicaragua's sanctions-strangled economy back to health are likely to be more modest--and decidedly more difficult--than the U.S. rebuilding of Panama, government and private analysts said Monday. Not only have the U.S. trade restrictions on Nicaragua been broader and more effective than those that Washington imposed on Panama, but Nicaragua had only a rudimentary economy before the United States clamped on its embargo.