Nicaragua General Information Area: 120,254 sq km (46,430 sq miles); 11,250 sq km (4344 sq miles) of lakes. Population: 4,938,000 (1999). Population Density: 41.1 per sq km. Capital: Managua. Population: 1,093,760 (official estimate 1995). GEOGRAPHY: Nicaragua borders Honduras to the north and Costa Rica to the south. To the east lies the Caribbean, and to the west the Pacific. In the north are the Isabella Mountains, while the country’s main feature in the southwest is Lake Nicaragua, 148km (92 miles) long and about 55km (34 miles) at its widest. The island of Ometepe is the largest of the 310 islands on the lake. These islands have a reputation for great beauty and are one of the country’s main tourist attractions. Lake Managua is situated to the northwest. Volcanoes, including the famous Momotombo, protrude from the surrounding lowlands northwest of the lakes. The country’s main rivers are the San Juan, the lower reaches of which form the border with Costa Rica, and the Rio Grande. The Corn Islands (Islas del Maiz) in the Caribbean are two small beautiful islands fringed with white coral and palms. They are very popular as holiday resorts with both Nicaraguans and tourists. The majority of Nicaragua’s population lives and works in the lowland between the Pacific and western shores of Lake Nicaragua, the southwestern shore of Lake Managua and the southwestern sides of the range of volcanoes. It is only in recent years that settlers have taken to coffee growing and cattle farming in the highlands around Matagalpa and Jinotega. Government: Republic. Gained independence from Spain in 1821. Head of State and Government: President Enrique Bolanos Geyer since 2002. Language: Spanish. Along the Mosquito Coast (Costa de Mosquito), there are English-speaking communities in which African or mixed African and indigenous Indians predominate. Religion: Eighty-five per cent Roman Catholic. Time: GMT - 6. Electricity: 110 volts AC, 60Hz. Telephone IDD is available. Country code: 505. Outgoing international calls may be made via the international operator or through direct dialling. Mobile telephone TDMA network is operated by NicaCell, and is not compatible with GSM handsets. Internet Internet cafes in Nicaragua provide public access to Internet and e-mail services. ISPs include IBW Internet Gateway (website: www.ibw.com.ni). Fax/Telegram Facilities in Managua. Post Airmail to Europe takes up to two weeks. Poste restante services are available in Managua. Post offices are open Mon-Sat 0900-1730. Press Barricada is the main daily paper and is also published in English. Other main publications are Nuevo Diario, La Prensa and La Semana Cómica (weekly). BBC World Service and Voice of America frequencies: From time to time these change. BBC (website: www.bbc.co.uk/worldservice): MHz 15.19 12.10 6.195 5.975 Voice of America (website: www.voa.gov): MHz 13.79 9.455 6.130 5.995 Passport/Visa   Passport Required? Visa Required? Return Ticket Required? British Yes No/1 Yes Australian Yes No/1 Yes Canadian Yes No/1 Yes USA Yes No/1 Yes OtherEU Yes No/1 Yes Japanese Yes No/1 Yes PASSPORTS: Passport valid for at least six months from the date of arrival required by all. VISAS: Required only by nationals of the following countries: Afghanistan, Albania, Angola, Armenia, Bosnia and Herzegovina, Cameroon, China (PR), Colombia, Dominican Republic, Ecuador, Egypt, Ghana, Haiti, India, Iran, Iraq, Jordan, Kenya, Korea (Rep), Lebanon, Liberia, Libya, Mali, Mozambique, Nepal, Nigeria, Pakistan, Palestine National Authority, Peru, Romania, Sierra Leone, Somalia, Sri Lanka, Sudan, Syria, Ukraine, Vietnam, Yemen and Yugoslavia (Serbia and Montenegro). 1. All other nationals can obtain a Tourist Card on arrival for approximately US$10 for touristic stays of one months, provided they are holding valid travel documents and, in the case of business travellers, a letter from their employer and/or company in Nicaragua. Types of visa and cost: Tourist and Business: £18. Validity: One month from date of issue. Visas can be extended for up to 30 more days. Applications should be made to the Immigration Office in Managua. Application to: Consulate (or Consular section at Embassy); see Contact Addresses section. Tourist Cards can be obtained on arrival. Application requirements: (a) Valid passport and a photocopy of passport required. (b) Completed application form. (c) Two passport-size photos. (d) Fee. (e) Onward or return ticket; including any travel documents needed for previous and next destination. Working days required: Confirmation for visas takes four to six weeks as special authorisation from the Nicaraguan Ministry of Foreign Affairs is required. Temporary residence: Enquire at Embassy. Note: Applicants need to have lived in Nicaragua for at least one year before applying. Money Currency: Nicaraguan Gold Córdoba (C$) = 100 centavos. Notes are in denominations of C$100, 50, 20 and 10, and 50, 25, 10 and 5 centavos. Note: Frequent adjustments to the traded value of the Nicaraguan Gold Córdoba, and the various exchange systems that have been used, make it impossible to make meaningful comparative assessments over successive years. Currency exchange: Foreign currencies can be exchanged at the airport, at banks and at official bureaux de change in major cities. Credit & debit cards: MasterCard, Visa, American Express and Diners Club are accepted on a limited basis. Check with your credit or debit card company for details of merchant acceptability and other services which may be available. Travellers cheques: Accepted in a number of places. Currency restrictions: There are no restrictions on the import or export of local or foreign currency. Exchange rate indicators The following figures are included as a guide to the movement of the Nicaraguan Gold Córdoba against Sterling and the US Dollar: Date May ’02 Aug ’02 Nov ’02 Feb ’03 £1.00= 20.65 21.81 23.00 23.47 $1.00= 14.17 14.34 14.55 14.74 Banking hours: Mon-Fri 0830-1700, Sat 0830-1130. Duty Free The following items can be imported into Nicaragua without incurring customs duty: 200 cigarettes or 500g of tobacco; 3l of alcoholic beverage; 1 large bottle or 3 small bottles of perfume or eau de cologne. Restricted imports: Canned or uncanned meats, leather and dairy products. A licence is required for firearms. Prohibited exports: Archaeological items, artefacts of historical or monetary value, and gold. Public Holidays Nov 2 2002 All Souls’ Day. Dec 8 Immaculate Conception. Dec 25 Christmas Day. Jan 1 2003 New Year’s Day. Apr 17 Holy Thursday. Apr 18 Good Friday. May 1 Labour Day. Jul 19 Liberation Day. Aug 1 Fiesta Day. Sep 14 Battle of San Jacinto. Sep 15 Independence Day. Nov 2 All Souls’ Day. Dec 8 Immaculate Conception. Dec 25 Christmas Day. Jan 1 2004 New Year’s Day. Apr 8 Holy Thursday. Apr 9 Good Friday. May 1 Labour Day. Jul 19 Liberation Day. Aug 1 Fiesta Day. Sep 14 Battle of San Jacinto. Sep 15 Independence Day. Nov 2 All Souls’ Day. Dec 8 Immaculate Conception. Dec 25 Christmas Day. Note: A considerable number of local holidays are also observed. Health   Special Precautions Certificate Required Yellow Fever No 1 Cholera 2 No Typhoid and Polio 3 N/A Malaria 4 N/A 1: A yellow fever vaccination certificate is required from all travellers aged one year and over arriving from infected areas. 2: Following WHO guidelines issued in 1973, a cholera vaccination certificate is not a condition of entry to Nicaragua. However, cholera is a risk in this country, especially after outbreaks in 1999 in Jinotega, Managua, Nueva Segovia and RAAN areas. Precautions are essential. Up-to-date advice should be sought before deciding whether these precautions should include vaccination, as medical opinion is divided over its effectiveness. See the Health appendix. 3: Immunisation against typhoid is strongly recommended. 4: Risk of malaria, predominantly in the benign vivax form, exists throughout the year in 119 municipalities. In the other 26 municipalities, in the departments of Madriz, Carazo and Masaya, transmission risk is low or negligible. Malaria risk is higher during the rainy season. Food & drink: All water should be regarded as being potentially contaminated. Water used for drinking, brushing teeth or making ice should have first been boiled or otherwise sterilised. Milk in rural areas may be unpasteurised and should be boiled. Powdered or tinned milk is available and is advised, but make sure that it is reconstituted with pure water. Avoid dairy products which are likely to have been made from unboiled milk. Only eat well-cooked meat and fish, preferably served hot. Pork, salad and mayonnaise may carry increased risk. Vegetables should be cooked and fruit peeled. Other risks: Amoebic and bacillary dysenteries, diarrhoeal diseases, typhoid fever and hepatitis A are common throughout the country. Cutaneous and visceral leishmaniasis occur. Dengue fever may occur. Rabies is present. For those at high risk, vaccination before arrival should be considered. If you are bitten, seek medical advice without delay. For more information, consult the Health appendix. Health care: Nicaragua has 27 public hospitals. The Nicaraguan government is currently carrying out a broad programme of renewal and development of the health system, with extensive funding from various development agencies. There is an extensive network of health posts and health centres in rural areas, however, their resources can be limited. International travellers are strongly advised to take out full medical insurance before departure. Travel - International AIR: Nicaragua’s national airline is Nicaraguenses de Aviación (NICA), which is now a member of the Taca International Airlines (TA). Other airlines serving Nicaragua are American Airlines, Aero Caribbean, Air France, Continental Airlines, Iberia and Lacsa. Services are available to Canada, Costa Rica, El Salvador, Guatemala, Honduras, Mexico, Panama, Spain and the USA. Approximate flight times: From Managua to London is 31 hours including stopovers in Toronto and Miami; to Madrid is 13 hours; to Miami is 2 hours 30 minutes. International airports: Managua (MGA) (Augusto Cesar Sandino) is 12km (7 miles) north of the city (travel time – 15 minutes). Bus and taxi services run to the city. Airport facilities include a bank, bars, post office, tourist information, restaurants, duty-free shop, refreshments and car hire (Avis, Hertz and Budget). Departure tax: US$25 on all departures; children under two years are exempt. SEA: Major ports are Corinto, El Bluff, Puerto Cabezas and Puerto Sandino, which are served by shipping lines from Nicaragua, as well as Central American, North American and European countries. ROAD: The Pan-American Highway runs through Nicaragua via Esteli and Managua. Bus: There are daily bus services between Managua and Tegucigalpa (Honduras), San Salvador (El Salvador) and San José (Costa Rica) (travel time – 9 hours). Services are provided by Nicabus, Ticabus, King-Quality and Transnica. Tickets are sold up to five days in advance, and all border documentation must be completed before the ticket is issued. Travel - Internal SEA: A twice-weekly boat service runs between Bluefields and the Corn Islands. It is also possible to visit the 300 or so islands on Lake Nicaragua, which are very beautiful. RAIL: There is no passenger rail service at present. ROAD: There is a network of 18,447km (11,463 miles) of roads of which 1749km (1087 miles) are paved. Traffic drives on the right. Bus: There is a service to most large towns. Booking seats in Managua in advance is advisable. Taxi: Available at the airport or in Managua. Prices should be agreed before departure. A map of each area in the city determines taxi prices. Car hire: Available in Managua or at the airport. This is often the best way of travelling, as public transport is slow and overcrowded. Documentation: National licences are only valid for 30 days. URBAN: The bus and minibus services in Managua are cheap, but they can be both crowded and confusing. TRAVEL TIMES: The following chart gives approximate travel times (in hours and minutes) from Managua to other major cities/towns in Nicaragua.   Road Granada 1.00 Masaya 0.30 Esteli 2.15 Chinandega 1.30 Matagalpa 1.45 Jinotega 2.30 Rivas 1.30 Accommodation Many of the hotels were destroyed in the earthquake of 1972, although new hotels are gradually being opened in Managua. Several have been built along the highway that bypasses the old part of the city, but there is still a shortage. A 15 per cent tax is levied on all hotel bills. There are motels along the Pan-American Highway and modern resort hotels along the west coast, offering a good standard of accommodation. Grading: Hotels in Managua have been divided into three categories: upper, middle and lower, to provide an indication of price and standard. For more information, contact the Nicaraguan Institute of Tourism (INTUR); see Contact Addresses section. Introduction Nicaragua has three main eco-regions: Pacific, Central and Atlantic; the Pacific region is home to volcanoes, lakes, tropical forests, beaches and mangrove systems; the Central region is home to mountains, rivers and agricultural areas; and the Atlantic region contains rainforests, marine lagoons, mangrove systems and coral reefs. Tourists are well catered for in these areas. MANAGUA: The centre of the capital was completely destroyed by an earthquake in December 1972 and there was further severe damage during the civil wars of 1978-1979. The Government has now decided that it will rebuild the old centre, adding parks and recreational facilities. In the old centre of Managua, one can still see examples of colonial architecture in the National Palace and the Cathedral. There are several museums of note in Managua, one of the most interesting of which is Las Huellas de Acahualinca which houses the site where 9000-year-old footprints were found – testimony to Nicaragua’s pre-historic past. There are several volcanic crater lagoons in the environs of Managua – centres of watersports and residential development with boating, fishing and picnicking facilities. Laguna de Xiloa is the most popular of these lagoons. Boats can be hired on the shores of Lake Managua for visiting the still-smoking Momotombo volcano and the shore villages. On Tiscapa Lagoon, there is a recreation centre. LEÓN: This is the ‘intellectual’ capital of Nicaragua, with a university, religious colleges, the largest cathedral in Central America and several colonial churches. A number of projects are currently underway that will highlight the historical and cultural roots of the city. GRANADA: Located at the foot of the Mombacho volcano, Granada has many beautiful buildings and has faithfully preserved its Castilian traditions. The cathedral has been rebuilt in neo-classical style. Also of interest are the Church of La Merced, the Church of Jalteva and the fortress-church of San Francisco. RESORTS: An hour’s drive from Managua are Pochomil and Masachapa beaches. Montelimar Beach Resort is the largest of its kind in Central America. A visit to the El Velero beach is recommended. On the Caribbean coast, there are a number of small ports, the most important of which is Bluefields. From here, one can get a boat to the beautiful, coral-fringed Corn Islands (Islas del Maiz), the larger of which is a popular Nicaraguan holiday resort with surfing and bathing facilities that make it ideal for tourists. The Pacific coast has a number of fine beaches, including San Juan del Sur, El Coco, Marsella, Ocotal and many others which are located in the south of Nicaragua in the department of Rivas. These beaches are distinguished by their unique and beautiful surroundings, and a number of touristic developments are underway in this region. Sport & Activities Watersports: Beaches on the Pacific coast offer safe swimming as do those on the Caribbean, including the popular Corn Islands. Often the better beaches have a small entrance charge. Many of the better hotels have pools open to non-residents. In the volcanic crater lagoons, there is also safe swimming. Bathing in Lake Managua should be avoided due to contamination, although steps to clean up the lake are being taken. Bathing is possible in the Laguna de Tiscapa. El Velero beach or Pochomil on the Pacific coast are ideal for surfing as are a number of other beaches along the west coast. Other: There are a number of good fishing spots along the country’s waterways and seashores. Baseball is the national game. Social Profile Food & Drink: Restaurants, particularly in Managua, serve a variety of cooking styles including Spanish, Italian, French, Latin American and Chinese. Local dishes include gallopinto (fried rice and pinto beans) and mondongo (tripe soup). Plantain is used in many dishes. Other specialities include nacatamal, indio viejo, quesillo, vigorón and roquillas. Food is often scooped up in tortillas instead of using cutlery. Roast corn on the cob is sold on the streets. Seafood is also available. There are a number of cheap but good restaurants/bars (coreders) where beer, often the cheap local brand, is available. Imported beverages are available but shortages may occur in some areas. Multicoloured fruit drinks made from fresh tropical fruit are superior to bottled soft drinks. At the other end of the scale, the few plush hotels have sophisticated restaurant/bars with a choice of international cuisine and beverages. Nightlife: Managua has several nightclubs, some offering live music. There are also cinemas with French, Spanish and English films. Other cities, such as Granada, Masaya, Léon, Matagalpa and Rivas, also offer nightlife entertainment. Shopping: Local items include goldwork, embroidery, shoes and paintings. Traditional crafts are available, particularly in Masaya, at the handicrafts market. Shopping hours: Mon-Fri 0900-1900, Sat 0900-1800. Special Events: For a list of events taking place in 2003, contact the Nicaraguan Institute of Tourism (see Contact Addresses section). Social Conventions: Dress is informal. Photography: Avoid photographing military sites or personnel. Tipping: Ten per cent of the bill is customary in hotels and restaurants. No tip is necessary for taxi drivers but porters expect a small tip. Business Profile Economy: Nicaragua’s economic travails during the last 20 years have left it one of the poorest countries in the Americas. Agriculture is the main economic activity, with cotton, coffee, sugar, bananas and meat the principal exports. Maize, beans and rice are grown for domestic consumption. The principal manufacturing industries are food, drinks, the production of chemicals and oil refining. There is also a small mining industry working deposits of gold, silver, lead and zinc. Some key industrial operations were nationalised following the 1979 Sandinista revolution but the bulk of the economy was left in private hands. Since then, state-controlled industries have reverted to private ownership, but the period of Sandinista rule brought economic decline largely as a result of domestic mismanagement, Western economic sanctions and civil war. During the 1990s, Nicaragua implemented a Structural Adjustment programme supervised by the IMF. The results were mixed but, during the same period, the Nicaraguans successfully developed new export markets in Scandinavia, Eastern Europe, the former USSR and Canada; they also attracted some economic aid from some of these sources. Some of the aid was provided as emergency assistance in the wake of a series of natural disasters – successive floods and droughts – which caused considerable damage to the agricultural economy. Nicaragua has a huge foreign debt and was a beneficiary of the Heavily Indebted Poor Countries (HIPC) initiative in 2001. The same year, the country was consumed by an economic crisis triggered by drought, financial instability (the private banking sector has all but collapsed) and exceptionally low commodity prices. Nicaragua’s largest trading partners are the USA (over one third of the total), Germany, Spain, El Salvador and to a lesser extent, Nicaragua’s other Central and South American neighbours. Nicaragua is a member of the Central American Common Market and the Inter-American Development Bank. Business: Businessmen wear business suits with ties, or long-sleeved shirts and smart trousers; businesswomen wear business dresses. A knowledge of Spanish is an advantage, although some businesspeople speak English. Enquire at the Embassy for interpreter services. The best time to visit is November to March. Office hours: Mon-Fri 0800-1700. Commercial Information: The following organisations can offer advice: Cámara de Comercio de Nicaragua, PO Box 135-C-001, Managua (tel: (2) 683 505 or 683 514; fax: (2) 683 600; e-mail: comercio@ibw.com.ni); or Servicio Información Comercial, Centro de Expertaciones e Inversiones, Hotel Intercontinental, 1 cuadra abajo y 1.5 cuadras al sur 1208, PO Box 5932, Managua (tel: (2) 683 860; fax: (2) 664 476; e-mail: nmolina@cei.org.ni; website: www.cei.org.ni). Climate Tropical climate for most of the country. The dry season is from December to May, and the rainy season is from June to November. The northern mountain regions have a much cooler climate. Required clothing: Lightweight cottons and linens are required throughout the year. Waterproofs are advisable during the rainy season. Warmer clothes are advised for the northern mountains. History and Government History: Pre-colonial Nicaragua was occupied by two distinct ethnic groups. The central and western regions were populated by tribes related to the Aztecs and Maya, who migrated southwards from Mexico. In the opposite direction, probably from Colombia, came a different group, who occupied the Caribbean lowlands. The arrival of Spanish colonists in the early 1500s brought the demise of most of the western and central populations through imported disease and forced labour. The eastern peoples survived due to a relative lack of interest from Spain and, later on, support from the British, who sought to challenge Spanish influence in the Caribbean. Under Spanish rule, Nicaragua was incorporated in the Captaincy-General – an administrative region, also known by the Spanish term audiencia – of Guatemala. At its peak in the mid-16th century, this stretched across the whole of central America, from southern Mexico to Panama. Throughout the colonial era, two major struggles dominated the political economy of Nicaragua and indeed the whole region. The first was between the Spanish and rival imperial powers – mainly the British, French and Dutch, who made repeated incursions into Spanish-controlled territory. The second was the internal feud over trade policy. On one side were wealthy landowners – descendants of the original Spanish colonists, backed by the moral authority of the Catholic Church – who supported and relied upon trade monopolies in the mining and agricultural commodities, which were the mainstay of the regional economy. In the opposing camp were anti-clerical ‘liberals’ who promoted a free trade system. The trade argument was a reflection of that raging within Europe; it was ultimately the events in Europe that brought about the end of colonial rule and national independence for Nicaragua. The catalyst was the French invasion of Spain in 1794, which triggered internal upheaval in the Captaincy-General and drastically weakened Spanish power. As one of the poorer colonial possessions, Nicaragua was low on the list of Spanish priorities and little serious effort was made to hang on to it. In 1821, the Captaincy-General of Guatemala declared independence. Some efforts from Mexico were made to bring Nicaragua to heel but in 1823, the five provinces – now the modern states of Nicaragua, El Salvador, Panama, Costa Rica and Honduras – declared full independence as the United Provinces of Central America. Internal feuding led to the rapid dissolution of the United Provinces and in 1838, Nicaragua declared itself a sovereign state with a democratic system of government. The fledgling nation was slow to stabilise and immediately became prey to what were now the most powerful foreign influences in the region – the British and the Americans. The British consolidated their control over the Caribbean seaboard, the so-called Mosquito Coast – the name derives from the term ‘miskito’ or mixed-blood, as most inhabitants of the area were descended from inter-marriage between Caribbean Indians and black former slaves. The Americans first appeared in the form of the freebooting William Walker. In 1855, one of the ‘liberal’ factions disputing power in Nicaragua invited the American mercenary to come and aid their cause. Walker took effective control of the government, by taking over the national army. However, he was no liberal and planned to remodel Nicaragua as a slave colony annexed to the US. Walker was eventually defeated after a bitter struggle. After several unsuccessful attempts to re-invade Nicaragua, Walker was captured by the British, handed over to the Nicaraguan government and executed in 1865. From this point on, the struggle between supporters and opponents of the US – along with the propensity of Washington to intervene when it felt its interests threatened – came to dominate the political landscape of Nicaragua. In 1912, after 50-odd years of relative quiet, it was the conservatives who called upon US intervention to resolve serious domestic upheaval. This revolved around a number of issues, including the failure of Nicaragua to secure the construction of an Atlantic-Pacific canal, which was built in Panama instead, as well as the historic conflict between conservatives and liberals. The Americans maintained a constant military presence in Nicaragua for the next two decades. For the first 14 years, it was nominal, however, in 1926, worried about a possible radical election victory similar to what had occurred in Mexico, US marines arrived in force. Most Nicaraguan politicians acquiesced to American will. However, a radical group, led by Augusto César Sandino – who gave his name to the Sandinista movement – launched an effective guerrilla campaign that forced the Americans’ departure in 1933. Sandino’s guerrillas had agreed to stop fighting when the Americans left. This they did. However, a new power had arisen during the course of the campaign, in the form of the paramilitary National Guard, led by General Anastasio Somoza Garcia. Against the wishes of the government, Sandino and his senior commanders were arrested by Somoza and executed in February 1934. Two years later, Somoza – a wily and vicious politician – was elected president and duly established a military dictatorship. Characterised by brutality, despotism and systematic corruption, this lasted for almost half a century. Somoza was assassinated in 1956, at which point his son, Luis Somoza Delbaye, took over. At the turn of the 1960s, a rebel movement called the Frente Sandinista de Liberación Nacional (FSLN) began a guerrilla campaign, which finally overthrew the Somozas after 17 years, in 1979. The ‘Sandinistas’ established a Junta of National Reconstruction and began a programme of agrarian reform, nationalisation of industry and massive health and literacy schemes. However, in 1981, following the election of Ronald Reagan as US President, the Americans – under the banner of fighting communism – began a programme of destabilisation in Nicaragua, helping the ‘Contra’ guerrilla forces in Honduras and Costa Rica and mounting an economic boycott. The Contra war caused serious difficulties for the FSLN government. Repeated attempts to negotiate a settlement foundered upon the opposition of the USA, which was determined to bring down the Sandinistas. Finally, in 1989, a deal was agreed with Honduras – where most of the Contra bases were located – to end the insurgency. Elections in February 1990 showed how much Sandinista popularity suffered during the years of turmoil and austerity. Violeta Chamorro, widow of the publisher, Pedro Chamorro – who was killed by the Somoza regime – defeated Sandinista leader Daniel Ortega when she stood on behalf of the combined opposition UNO Alliance representing 14 of the 21 opposition parties in Nicaragua. Once in government, much of Chamorro’s energy was consumed by holding together the fractious UNO coalition. The President herself had little to do with the day-to-day business of government, which was mostly in the hands of her son-in-law, Antonio Lacayo Oyanguren. Under Chamorro, Nicaraguan relations with the USA did not proceed as smoothly as either party would have liked. Bilateral aid was the major sticking point, with the US Congress imposing a series of obstacles to the US$100 million annual subvention. However, Nicaraguan diplomacy proved enough to avoid the suspension of aid. At home, the instability and perceived lack of action on the part of the Chamorro government led to a series of armed uprisings in the more remote parts of the country, executed by disaffected ex-soldiers from both Contras and Sandinistas, whose land claims had been ignored. UNO has since been pushed out of ministerial office by Chamorro, who has replaced their representatives with members of the newly formed Partido Socialista Nicaragüense (PSN) and the Grupo de Centro, a faction composed of centrist UNO dissidents. While the disintegration of the anti-Sandinista UNO coalition was less than surprising, the split in the traditionally disciplined Sandinistas was unexpected. In the summer of 1995, a moderate faction led by ex-Vice-President Sergio Ramirez broke away, leaving Ortega in charge of the rump. Ortega’s fortunes have since deteriorated further, although he was once more re-elected Sandinista leader at the party’s May 1998 Congress, his future political prospects were put in serious jeopardy after he was accused of sexual molestation by his stepdaughter. Both Ortega and the residual FSLN survived. However, both were defeated at the 1996 elections. Ortega drew on his huge popular following to register 40 per cent at the presidential poll but was overhauled by Arnoldo Aleman Lacayo leading an alliance of liberal and centrist parties. The Alianza Liberal also became the largest party in the Asamblea Nacional, following simultaneous legislative elections, albeit falling short of an absolute majority. The bitter issue of land reform continued to dominate Nicaraguan politics, with numerous disputes dating back to the Sandinista era and before. Following the passage of carefully worded legislation and the disarming of the Rearmados (rural guerrillas still pursuing some of these claims at the beginning of 1998), the issue now seems to have been settled. Ortega made another stab at the presidency in November 2001 and was widely tipped for victory. During the 1990s, he had gradually repositioned himself politically, dropping socialist policies and revolutionary rhetoric in favour of a Blairite Christian democrat posture. The FSLN was restyled as Convergencia, the ranks of which are even open to former members of Somoza’s once-loathed National Guard. In the event, Ortega lost out once again, this time to Lacayo’s vice-president, Enrique Bolanos Geyer. Convergencia also fell just short of the winning post; the Liberals have a majority of just two in the new national assembly. The new government faces several major problems, mostly related to the economy (see Economy section). Its work also has been paralysed by a dispute over the fate of ex-president Aleman, who was arraigned for corruption during his term of office. This was finally resolved in September 2002, when Aleman’s parliamentary immunity was removed. Government: The President, who is elected for a five-year term, wields executive power and is assisted by a Deputy and Cabinet of Ministers. Legislative power rests with the National Assembly, whose 92 members (reduced from 96 in 1990) are popularly elected by proportional representation. Under the terms of constitutional amendments adopted in July 1995, the president and legislature’s mandate was established as five years. Copyright © 2003 Columbus Publishing Ltd.