Nicaragua Network

1. Fishing boat with 50 aboard capsizes in storm: two dead, 17 missing and feared dead
2. Canal news: anti-canal march; bishops learn more; HKND meets with businesses and unions
3. ALBA celebrates tenth anniversary at Havana summit
4. Voter identification cards expiration date extended through 2017
5. Earthquake drills prepare Nicaragua for possible killer earthquake
6. Low income housing makes strides in 2014
7. Delegation from San Andres meets with Nicaraguan Caribbean Coast residents
8. Changes to tax law pass in Assembly

1. Fishing boat with 50 aboard capsizes in storm: two dead, 17 missing and feared dead

The fishing boat Wayward Wind was hit by a giant wave early on Dec. 9 while out in the Caribbean 35 nautical miles southeast of Bilwi, Puerto Cabezas, with a crew of lobster divers. The boat, with 50 men aboard, capsized with some of the crew below deck sleeping while others were able to get into life boats.  Crew member Sabio Robles said that he and three others were able to make land after two days of rowing and raise the alarm. As of Monday, Dec. 15, thirty-two of the fishermen had been rescued alive by the Nicaraguan Naval Force but one of the men later died at the Bilwi hospital. One was found dead on the ship. Seventeen remain missing. Naval Lieutenant Lenin Amador said that after six days of intense searching by six naval vessels and two helicopters plus help from local fishing boats, he feared for the lives of the remaining men because the weather conditions in the area were again bad. He said that the boat had left port on Dec. 9 without the proper permission and without regard for a weather alert released by the authorities.

Yolanda Gonzalez said that she still had hopes that her husband, Rex Martinez, would be found. She said, “I have faith in God that I will be able to receive my husband alive. We all depend on him--I, my children, his mother who has cancer and his father who has had a stroke.” She added, “Watching how the navy and all the people are moving, I have faith in God that here, where we sent them off, we will get them back.” (Radio La Primerisima, Dec. 14, 15; El Nuevo Diario, Dec. 13)

2. Canal news: anti-canal march; bishops learn more; HKND meets with businesses and unions

An estimated 5,000 people marched in Managua on Dec. 10 to show their opposition to the shipping canal (known as the Grand Inter-Oceanic Canal) across Nicaragua, construction of which is scheduled to begin this month. The march was organized by the National Commission for the Defense of Our Lands, Lake, and Sovereignty. The protesters, who marched from the military hospital to the offices of the United Nations, came from regions of the country where the canal will pass, including Punta Gorda, Nueva Guinea, San Jorge, Ometepe, and Chontales, as well as from Managua and other cities. Organizers said that the march was non-partisan and took a banner for the Independent Liberal Party (PLI) away from its owner. Among the speakers at the march was Vilma Nuñez, president of the Nicaraguan Center for Human Rights, who said that, on International Human Rights Day, “You are sowing the seed of liberty in Nicaragua not with a declaration, or a treaty, or a law, but with an example of struggle.” A resident of Ometepe Island gave Nuñez 60,000 signatures of people opposed to the canal asking her to make sure that they were delivered to the international community.

Medardo Mairena of Punta Gorda at the Caribbean terminus of the canal said that people there did not want to sell their lands “even if they pay us well. We are accustomed to the way we live and we want to leave our land to our children.” However, Julian Mendiola and Ernesto Siles of San Miguelito on the eastern shore of Lake Cocibolca (Lake Nicaragua) said that if they got a good price for their land they would be willing to sell. Celia Contreras of Paiwas, another affected community, said, “We believe that they did not consult correctly with the families and those plans are not transparent so we don’t believe that [the canal] is viable.”

In several places buses were not allowed to leave for Managua or were stopped along the way. Three buses with 200 people from Somoto and San Lucas in Madriz were stopped at the Palacagüina junction by police officers and had to turn back. Canal supporters in Nueva Guinea unsuccessfully tried to prevent protesters from that municipality from leaving for Managua but La Prensa states that, “pressuring uniformed officers, they [the protesters] were able to get ten trucks that could take them to Managua.” Meanwhile, at the National Assembly, Sandinista Deputy Edwin Castro said that opposition deputies who left the Assembly after a key vote to participate in the march should have one day’s salary deducted from their monthly check. It was unclear whether the deduction will be made.

In other canal related news, members of the Catholic Bishops Conference met with officials to learn more about the canal. Managua Archbishop Cardinal Leopoldo Brenes said, “We listened and later we will have another meeting to get more information. What is important is to learn not just about the concerns of the faithful but also to listen to the technicians and now to the government,” Five bishops met with Telemaco Talavera and Lumberto Campbell of the Canal Commission and Paul Oquist from the office of President Daniel Ortega. Talavera said that a major concern passed on by the bishops was from people living in the route of the canal: Will they be relocated and to where? Will they be justly compensated? Will there be jobs for them?

Meanwhile, the HKND consortium, which holds the concession for the canal, issued an invitation to ceremonies marking the beginning of construction on Dec. 22 at simultaneous events in Rivas and Managua. Also, HKND officials met last week with trade union leaders and with business representatives to learn more about the capacity of different sectors to participate in the canal construction. Executives of the Promerica Group, a subsidiary of the Bank of Production (BANPRO), told HKND about the financial services Promerica could provide for the project, including bank branches along the canal route. Holcim cement company officials told HKND that the company had increased its production capacity by 15% and could produce 380,000 tons of cement annually. HKND officials told national union leaders that the company would prioritize use of local labor and would only bring in foreign workers for jobs that could not be covered at the national level. Mexican, Costa Rican, and Chilean companies all expressed interest last week in participating in the building of the canal. (La Prensa, Dec. 10; El Nuevo Diario, Dec. 9, 10, 11; Radio La Primerisima, Dec. 9)

3. ALBA celebrates tenth anniversary at Havana summit

Speaking at the meeting in Havana, Cuba, to celebrate the tenth anniversary of the Bolivarian Alliance for the Peoples of Our America (ALBA), Nicaraguan President Daniel Ortega said that the origins of ALBA date back to the first meeting between Fidel Castro and Hugo Chavez in 1994, a meeting which he also attended. Chavez was not yet president of Venezuela and the Sandinistas were out of power in Nicaragua, Ortega noted, and Cuba stood alone, “embattled, blockaded, and living the new challenges brought by the disappearance of the Soviet Union.” But from that moment on, Ortega said, “everything began to change” with victories at the ballot box in Venezuela, Brazil, Argentina, Bolivia, and Ecuador, a context in which ALBA could take root. “From then on,” Ortega continued, “we have not stopped moving ahead and I am certain that ALBA in this rebellious America will never stop walking forward.” He condemned the United States for continuing the trade embargo against Cuba and for the recently approved sanctions against Venezuela as well as for putting ALBA countries on a list of states that promote terrorism.

Summit host Cuban President Raul Castro opened the meeting and he was followed at the podium by Presidents Nicolas Maduro of Venezuela, Evo Morales of Bolivia, Daniel Ortega of Nicaragua, and the prime ministers of the Caribbean island nations. The speakers highlighted the achievements of ALBA and looked forward to further efforts in economic integration including a Peoples Trade Agreement, the ALBA Bank and the Sucre currency. The final declaration of the summit condemned the recent approval by the US Congress of sanctions against Venezuela and demanded that the embargo against Cuba be lifted. The declaration applauded Cuba’s declaration that it will attend the next Summit of the Americas in Panama in April of next year. The member nations of ALBA are: Bolivia, Cuba, Dominica, Ecuador, Nicaragua, St. Lucia, St. Vincent and the Grenadines, Surinam, and Venezuela. At the meeting, Saint Kitts and Nevis along with Grenada were accepted as members. Haiti and El Salvador are observers. (La Prensa, Dec. 14; Radio La Primerisima, Dec. 14)

4. Voter identification cards expiration date extended through 2017

President Daniel Ortega on Dec. 15 sent a message to the Nicaraguan National Assembly asking them to hold a special session to extend the period for renewal of national identification cards beyond the current Dec. 31 deadline to January 2018. An estimated one million Nicaraguans have cards, used for voting and all other official business, that are slated to expire at the end of this month. The head of the Sandinista bench in the National Assembly, Edwin Castro, said that he expected Assembly leadership would call for a session this week to vote on the extension. Wilber Lopez, coordinator of the Bench of the Independent Liberal Party Alliance (BAPLI), said that members of his bench would be ready to return to the Assembly to support that extension to benefit the thousands of Nicaraguans who have been standing long hours in line trying to renew their documents. “We can’t leave more than a million people defenseless without identification cards,” he said.

In one typical case, Claudia Sanchez said that she has been trying for a week to get her card. She paid C$300 (about US$12) in the bank for the more expensive digital card but when she comes to the offices of the electoral council the line is already long and she is too late to get a number. “A watchman told me that if I wanted to get a number I had to come at 2:00 am.” (El Nuevo Diario, Dec. 15)

5. Earthquake drills prepare Nicaragua for possible killer earthquake

The National System for Prevention, Mitigation, and Response to Disasters (SINAPRED), held a massive earthquake drill on Dec. 10 in 484 neighborhoods and regions of Managua.  Fifty-five thousand alone participated in evacuations, including judges and court personnel from the Central Court Complex of Managua.  Workers and 115,000 students from 230 schools, 22 health centers, and 91 agencies as well as 9,148 members of the neighborhood-based Family Cabinets, participated in the drill. Managua with its 1.4 million residents is highly vulnerable to earthquakes. The 1972 December earthquake, which flattened central Managua and killed an estimated ten thousand, is on people’s minds as the 42^nd anniversary of that disaster approaches.  Disaster drills were also planned last week for Leon, Chinandega, Rivas, Granada, Masaya, and Carazo. (El Nuevo Diario, Dec. 11; La Prensa, Dec. 10; Radio La Primerisima, Dec. 9)

6. Low income housing makes strides in 2014

The Institute for Urban and Rural Housing (INVUR) turned over the keys to 30 social interest houses to sugar workers at the Monte Rosa Sugar Company in Chinandega last week. Bernardo Chamorro, general manager of the company said that this completes a total of 50 dignified houses for sugar workers and that more will be built “because the need is great.” This is one small part of the Sandinista government’s efforts to provide dignified housing and food security for low income Nicaraguans. Government spokeswoman Rosario Murillo told reporters that 400 families in Managua’s Fourth District neighborhood of Acoyapa had received galvanized roofing to improve their houses. In detailing other programs for the poor, she said 2,500 families will receive food packets in Managua, wheelchairs in the departments of Rio San Juan and Chontales, and the government will construct 27 more affordable homes in Managua. She also said that INVUR will deliver new or repaired houses to 400 families (2,000 people) thanks to the government investment of over US$1.2 million. She also mentioned that an investment of US$78,000 has brought electricity to 50 homes in San Rafael del Norte.

Jose Aguerri, president of the Superior Council of Private Enterprise (COSEP), praised the government’s Social Housing Fund (FOSOVI) for subsidizing construction of 1,000 homes for low income workers. He said, “This is significant because in six months we saw issued the equivalent of half the total subsidies of the last four years.”  FOSOVI plans to subsidize construction of 2,500 low income houses in 2015. The authorizing law, which was amended in May, subsidizes the monthly bank loan interest to low income buyers by 2.5% for housing that does not surpass US$32,000 in value. Aguerri said the subsidies are an important economic driver that has meant a half billion dollars held in mortgages by the nation’s banks, ranking third after commercial and personal credit. He said housing contractors predict a US$150 million increase in home sales in 2015. The Nicaragua Chamber of Urban Construction (CADUR) reported to COSEP that it sold 3,500 new homes in 2014 and that there are 80 projects under construction. (El Nuevo Diario, Dec. 11, 15; Radio La Primerisima, Dec. 15)

7. Delegation from San Andres meets with Nicaraguan Caribbean Coast residents

A delegation of Raizal afro-indigenous Creole-English speaking people from the San Andres archipelago met with mainland Nicaraguan afro-indigenous groups last week to strengthen ties. Sovereignty over the San Andres islands was a long contested issue between Nicaragua and Colombia before the World Court awarded the islands to Colombia in a 2007 ruling and the surrounding waters to Nicaragua in a ruling two years ago; a decision that Colombia still has not accepted. “We come here to exchange bonds of blood and brotherhood with our brothers on the Atlantic Coast,” said Raizal leader and Baptist minister Raymond Howard. “We have a closely linked past and we want to return to the relationship we had before the Barcenas-Esguerra treaty of 1928 [which stipulated that the Corn Islands belonged to Nicaragua and the San Andres Archipelago to Colombia].” The meeting took place in El Rama in the South Caribbean Autonomous Region. Howard also thanked President Daniel Ortega for his policies on fishing in waters awarded by the World Court to Nicaragua. He said, “President Ortega understands perfectly the rights of ancestral peoples in the territory.” Approximately 35,000 Raizal live in the archipelago. Another roughly 50,000 are part of the Raizal “diaspora.”  The delegation traveled to communities in the region and met with autonomous regional authorities, both North and South. Their objective is to strengthen economic, religious, and sports ties. (El Nuevo Diario, Dec. 11; Radio La Primerisima, Dec. 11)

8. Changes to tax law pass in Assembly

The National Assembly approved changes to the nation’s tax law week with the Sandinista deputies voting yes and the opposition deputies voting no.  Taxes will go up in 2015 on income from investments, a measure that Walmaro Gutierrez, chair of the Production, Economy and Tax Committee, said was passed with the agreement of the private sector. Gutierrez said, “All legislators say we need more schools, more health centers, more hospitals, more highways, more roads, more credit for farms and businesses. And where do they think that the money comes from? From the taxes that you and I and all of us pay.” Donations from abroad to churches and non-profit organizations will continue to be tax free. Medicines and medical devices will continue to enter tax free. The tax exemption for garments and shoes produced by small and medium sized Nicaraguan companies (PYMES) was eliminated. Gutierrez explained that, because of regional agreements, if Nicaragua exempts its own products it has to do the same for similar products from all of Central America. This, he said, could destroy the small and medium garment and shoe sector of Nicaragua. Business leader Jose Adan Aguerri defended the tax increase saying, “They had said that the increase of last year would [cause a slowdown and] a reduction… but we see that revenues have increased.” (El Nuevo Diario, Dec. 11, 12)