Background

putin’s Satellite Nicaragua – a Failed State with Anti-Market Rhetoric

8/4/2025
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President of Nicaragua Ortega has publicly supported russia’s occupation of Ukrainian territories. Managua consistently demonstrates that authoritarianism, corruption, and foreign policy sycophancy are not a development strategy, but a recipe for the slow disintegration of statehood. Since returning to power in 2007, Daniel Ortega and his wife, Vice President Rosario Murillo, have completely turned the country into an authoritarian model of manual control, having destroyed the opposition, media, and civil society.

Nicaragua’s key foreign policy benchmark is russia. Ortega’s regime supports all the kremlin’s narratives: from the recognition of Abkhazia and South Ossetia to the opening of a consulate in occupied Simferopol. russia, in its turn, supplies 90 % of weapons and uses Nicaragua as a platform for increasing its influence in Latin America.

Note. Domestically, Ortega relies on security forces and controlled courts. In 2018, mass protests against pension reform were brutally suppressed: hundreds of deaths and thousands of arrests. The 2021 elections were held against the background of the total destruction of the opposition, with leading candidates being imprisoned or denied access to the campaign.

The economic situation is no less critical. In terms of nominal GDP, Nicaragua is second only to Haiti, and more than half of the population lives below the poverty line. The majority of energy needs are covered by firewood – a direct indicator of infrastructure degradation. Instead of attracting investment, the government relies on corrupt schemes with state-owned companies, including ENIMINAS, which has been blocked by the United States for its ties to the rf.