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Biblioteca Nicaragua : Poverty Assessment, Volume 1. Main Report

Nicaragua : Poverty Assessment, Volume 1. Main Report

Nicaragua : Poverty Assessment, Volume 1. Main Report

Resource information

Date of publication
Junho 2012
Resource Language
ISBN / Resource ID
oai:openknowledge.worldbank.org:10986/8097

Nicaragua is a small, open economy that
is vulnerable to external and natural shocks. With an
estimated Gross National Income (GNI) per capita of US$1000
in 2006, and a total population of 5.2 million, it is one of
the poorest countries in Latin America. Forty six percent of
the population lived below the poverty line in 2005 (while
15 percent lived in extreme poverty), and the incidence of
poverty is more than twice as high in rural areas (68
percent) than in urban areas (29 percent). Nicaragua's
social indicators also rank among the lowest in the region,
commensurate with its relatively low per capita income
level. Nicaragua's long-term development vision is set
out in its National Development Plan (NDP), 2005-2009, which
gives greater importance to economic growth than the
strategy document that preceded it. This also serves as its
second Poverty Reduction Strategy (PRS). The goals of the
PRS incorporate the MDGs, and establish medium (2006-2010)
to long term targets (2015). By 2005, the country had made
satisfactory progress on meeting the PRS/MDG targets for
reducing extreme poverty, increasing net primary enrollment,
and reducing infant and child mortality. This National
Development Plan is being revised by the new government that
took office on January 2007, which has expressed interest in
maintaining policy continuity in those areas that have shown
progress and tackling pending development challenges. These
include efforts to improve the country's growth
performance while reducing poverty, macroeconomic stability
as a necessary, although not sufficient, condition to
stimulate growth, and reduce poverty, a special focus on
social issues that impact the poorest, including the MDGs,
and environmental sustainability. Programmatic priorities
for the new administration include a renewed focus on
poverty reduction using a multi-sector approach,
implementing pragmatic solutions to the energy crisis for
the short to medium term; expanding water and sanitation
services with environmentally sustainable solutions; sharing
economic growth more broadly to tackle hunger, malnutrition
and poverty; placing greater emphasis on preventive health
and continuing social protection programs; extending
illiteracy programs and improving education services, and
pursuing municipal decentralization, state modernization,
and good governance.

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