Nicaragua

The most prominent feature of the Nicaraguan economy’s performance in 1989 was the control of hyperinflation. The annual variation in the level of prices fell from close to 34 000% to 1 700%. Some of the more dramatic elements of the previous year’s crisis were tempered, although a good deal of instability persisted. The central government’s deficit fell from26% of GDP to 5% as aresult of the sharp contraction of public expenditure. The rigorous fiscal policy made it possible to slow down the money supply, thereby becoming the main instrument against inflation.

Sustainable Development Goals:

Decent Work and Economic Growth

Industry, Innovation and Infrastructure

Peace, Justice and Strong Institutions