The ruling FSLN further entrenched an authoritarian police state, eliminating political opposition and preparing a dynastic succession from President Daniel Ortega to Vice President Rosario Murillo. Large-scale denationalizations, expulsions and entry bans targeted dissidents and exiles, while the closure of civil society spaces and a pervasive climate of fear further suppressed critical voices. Constitutional reforms legalized previous rights violations and introduced a two-person co-presidency to consolidate executive control.
Economic recovery continued despite deepening authoritarianism. Fiscal and monetary stability returned to pre-crisis levels, supported by rapidly rising remittances amounting to nearly one-third of the GDP. Poverty and inequality remain persistent.
Governance is weak and defined by centralized authority, leading to accelerating emigration rates. International credibility has declined, and Nicaragua’s outlook now hinges on whether key Sandinista and military factions will support the planned succession.