Cover: Export credit subsidies to Nicaragua

Export credit subsidies to Nicaragua

Published 1986

by Don Henry

Purchase Print Copy

 Format Price
Add to Cart Paperback40 pages $23.00

This study calculates the level of subsidies in officially supported export credits that have been advanced to the government of Nicaragua. U.S.-Nicaraguan relations have deteriorated steadily since 1981. U.S. actions have included various forms of aid to antigovernment forces within Nicaragua, and economic sanctions, including a trade embargo. A number of West European countries, however, continue to provide assistance to Nicaragua. These governments feel that the Nicaraguan regime is not as threatening as the United States portrays it. This Note examines one form of economic assistance to Nicaragua in detail: export credit subsidies. Because Nicaragua receives credit on favorable terms from major industrialized nations, it is able to expand its military efforts beyond levels otherwise possible. These subsidies exceed the size of nonlethal aid that the United States is providing the anti-government forces within Nicaragua. If European governments are alerted to the costs of providing export credits to Nicaragua, they might reduce these flows.

This report is part of the RAND note series. The note was a product of RAND from 1979 to 1993 that reported other outputs of sponsored research for general distribution.

This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit

RAND is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.