The 2018 Idex

Co

un

try

Pro

file

Nicaragua

-2020-

www.fdiattractiveness.com

© Copyright 2020 · A Global Foreign Direct Investment Country Attractiveness Index – Ben Jelili Riadh

NicaraguaEconomic Indicators 2020

Gross domestic product, current prices U.S. dollars (Billions) 12.3

Gross domestic product, constant prices Percent change -0.8

General government total expenditure Percent of GDP 27.5

General government net lending/borrowing Percent of GDP -2.4

Inflation, average consumer prices Percent change 4.2

Population Persons (Millions) 6.6

Current account balance U.S. dollars (Billions) 0.2

Current account balance Percent of GDP 1.8

Total investment Percent of GDP 21.6

Unemployment rate Percent of total labor force 8.8

FDI Country Attractiveness Index Rank 2019 Rank 2020 Value 2020Quartile

2020

GDP Growth Volatility 84 96 70.1 Q4

Average Inflation Rate 87 75 100.0 Q3

Average Current Account Balance Ratio 73 48 67.2 Q2

Average Fiscal Balance to GDP Ratio 53 66 68.5 Q3

Average General government gross debt to GDP 22 25 84.6 Q1

RER Volatility 87 87 74.2 Q4

Number of Exchange Rate Crisis 64 65 27.8 Q3

Macroeconomic Stability 73 75 70.3 Q3

Average Financila Institutions Depth and Financial Markets Depth 93 94 6.2 Q4

Average Financila Institutions Access and Financial Markets Access 84 84 10.6 Q4

Average Financila Institutions Efficiency and Financial Markets Efficiency 101 101 15.0 Q4

Financial Structure and Development 97 96 10.6 Q4

Voice and Accountability 78 84 29.3 Q4

Political Stability and Absence of Violence 56 63 58.7 Q3

Government Effectiveness 92 92 31.3 Q4

Regulatory Quality 85 87 35.2 Q4

Rule of Law 82 90 35.5 Q4

Control of Corruption 93 96 18.8 Q4

Institutional Environment 82 86 34.8 Q4

Starting a Business: Average(Nbr of Procedures, Time) 86 87 73.1 Q4

Dealing with Construction Permits: Average(Nbr of Procedures, Time) 105 105 50.1 Q4

Registering Property: Average(Nbr of Procedures, Time) 99 100 27.0 Q4

Getting Electricity: Average(Nbr of Procedures, Time) 78 78 68.6 Q3

Getting Credit: Average(Strength Legal Rights, Depth ceridt info) 65 71 50.5 Q3

Protecting Investors 104 104 17.9 Q4

Enforcing Contracts: Average(Nbr of Procedures, Time) 56 59 54.5 Q3

Business Environment 91 92 48.8 Q4

Prerequisites 91 96 46.7 Q4

Real Domestic Demand per capita 84 86 3.7 Q4

Volatility Real Domestic Demand per capita 97 98 1.1 Q4

Trade performance Index 92 91 19.1 Q4

Trade to GDP ratio 34 36 21.3 Q2

Applied Tariff 33 34 83.8 Q2

Trading Across Borders 57 57 77.2 Q3

Market Access and Market Potential 60 62 34.4 Q3

Total Natural Resources Rents to GDP 47 46 10.4 Q2

Labor Productivity Average Growth 88 88 7.5 Q4

Mean years of schooling 82 82 42.2 Q3

Expected Years of Schooling (of children) 83 82 32.8 Q3

Human Development Index (HDI) value 81 81 48.2 Q3

Human and Natural Resources 83 83 28.2 Q4

Labor tax and contributions 35 34 47.9 Q2

Total tax rate 11 13 52.4 Q1

Time to prepare and pay taxes 89 91 47.1 Q4

Score of Trading Across Borders, Average Distance to Frontier (DTF) 57 57 77.2 Q3

Cost Components 42 43 56.2 Q2

Customs efficiency and border clearance 78 78 36.7 Q3

Trade and transport infrastructure 77 77 26.3 Q3

International shipments 93 93 22.1 Q4

Logistics quality and competence 78 78 27.3 Q3

Tracking and tracing 91 91 21.0 Q4

Timeliness 96 96 17.4 Q4

Logistics Performance 90 90 25.1 Q4

Fixed (wired)-broadband subscriptions 74 76 7.3 Q3

Fixed-telephone subscriptions per 100 inhabitants 75 76 9.4 Q3

Percentage of Individuals using the Internet 92 92 26.9 Q4

Mobile-cellular telephone subscriptions per 100 inhabitants 35 62 36.8 Q3

Telecommunication and ICT 84 88 20.1 Q4

Underlying Factors 78 79 32.8 Q3

Number of FDI Greenfield Projects from OECD Countries 77 83 1.2 Q4

Inward FDI stock share to World Inward FDI stock 90 90 1.1 Q4

Number of BITs Accumulated 88 82 14.8 Q3

Agglomeration Economies 91 87 5.7 Q4

Market Sophistication Index 74 85 44.3 Q4

Business Sophistication Index 52 65 22.9 Q3

Knowledge and technology outputs 100 102 7.1 Q4

Share Total patent applications (direct and PCT national phase entries) to World

Total Patent Applications95 96 1.0 Q4

E-Government Index 86 86 38.3 Q4

Technological environment and Differentiation 81 89 22.7 Q4

Agglomeration & Differentiation 82 89 17.6 Q4

GFCA Index 81 86 31.9 Q4

Key Driver Performance GFCA (Index Value) Historical Evolution

Peer Group Performance Comparison 019 020

GFCA Index

Rank 2019GFCA Index

Rank 2020GFCA Index

Value 2020Quartile

2020Argentina 57 55 45.1 Q2

Brazil 54 56 45.1 Q3

Uruguay 60 59 44.5 Q3

Colombia 59 60 44.0 Q3

Panama 63 64 41.9 Q3

Peru 62 65 41.6 Q3

Dominican Republic 72 72 38.0 Q3

Ecuador 73 74 36.8 Q3

Guatemala 77 76 35.8 Q3

Paraguay 76 77 35.5 Q3

Bolivia 82 81 33.6 Q3

Honduras 84 85 32.4 Q4

Nicaragua 81 86 31.9 Q4

Venezuela 102 104 23.9 Q4

0.0

15.0

30.0

45.0

60.0

75.0

90.0

MacroeconomicStability

FinancialStructure andDevelopment

Institutionalenvironment

BusinessEnvironment

Prerequisites

Market Accessand Market

Potential

Human andNatural

ResourcesCost

ComponentsLogistics

Performance

Telecommunications and IT

UnderlyingFactors

AgglomerationEconomies

Tech.Environment &Differentiation

PositiveExternalities

GFCA Index

Nicaragua Latin America & Caribbean Region World Average

46.0

33.2

19.6

32.8

46.7

32.8

17.6

31.9

Prerequisites Underlying Factors Positive Externalities GFCA Index

2019 2020