Nicaragua: Economy and Trade

Nicaragua has one of the smaller economies in Central America, with agriculture, light manufacturing, and services forming the backbone of output. Coffee, beef, sugar, and gold are among its principal exports, and free trade zones support a significant textile and apparel manufacturing sector, while remittances from citizens living abroad also make a substantial contribution to household income and GDP.

The United States is Nicaragua's largest trading partner, a relationship reinforced by the Dominican Republic-Central America Free Trade Agreement (CAFTA-DR). The country also maintains trade ties within Central America and with other partners, exporting textiles, agricultural goods, and gold while importing petroleum, machinery, and consumer goods.