For years, Nicaragua has been receiving financial aid from Venezuela. Between 2011 and 2014, this aid amounted to loans of some $550 million per year. But there is currently serious doubt from analyst Norka Luque that this vast amount of money has actually put Nicaragua on the road toward stronger public institutions, improved education, and increased technology. Instead, it appears that the money has gone to enrich a few individuals and their immediate families.
According to an article at the online Havana Times.org (http://www.havanatimes.org/?p=118234), the total amount of money that Nicaragua received from Venezuela amounted to over $3.5 billion. And with Venezuela currently being seriously affected by lower oil prices, it stands to reason that Venezuelan officials would sincerely like to see that money paid back soon with interest.
“Nicaragua certainly needed financial aid” says Luque. Without a sound system of highways, without a large port in the Caribbean, without an irrigation system that would allow it to become an agricultural power, and most especially without a plan for inaugurating needed reform, more or less corrupt Nicaraguan officials seem to have frittered away the money received from Venezuela on projects that made little financial sense.
It appears that Nicaragua has a lot to account for in financial terms, and that Venezuela is going to have to lower its expectations of getting its principal back, not to mention interest that should have been accumulating over the past nine years.