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Fitch downgrades Nicaragua’s economic outlook to negative

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Fitch Ratings changed the Nicaraguan government’s economic outlook from stable to negative, while affirming a sovereign rating of B-.

According to the rating agency, there is a high probability that Daniel Ortega’s government will resort to Nicaragua’s Central Bank deposits to finance this year’s and next year’s deficits.

This negative outlook, according to Fitch, reflects increased financing risks amid a revenue shock caused by the Coronavirus pandemic.

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Central America

Guatemala Police Arrest Prison Guard Caught in the Act of Extortion

Guatemala’s National Civil Police (PNC) arrested a suspected extortionist in the act during an operation carried out in the department of Quiché, authorities reported.

According to the police report, the arrest took place in Zone 1 of Santa Cruz del Quiché after officers responded to a citizen complaint. Agents from Precinct 71 identified the suspect as Encarnación “N”, 41, who was serving as a guard in the Guatemalan Penitentiary System.

The suspect was caught while attempting to collect a package simulating an extortion payment totaling 25,000 quetzales. Police intervened at the precise moment the money was being handed over, allowing authorities to document the crime in flagrante delicto.

Following the operation, the detainee was placed at the disposal of the competent courts to face criminal proceedings.

The PNC emphasized that such operations aim to dismantle criminal structures involved in extortion, regardless of whether those implicated are linked to state institutions, and urged the public to continue reporting these crimes through confidential channels.

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Central America

Honduras swears in conservative president Asfura after disputed election

Conservative politician Nasry Asfura assumed the presidency of Honduras on Tuesday with an agenda closely aligned with the United States, a shift that could strain the country’s relationship with China as he seeks to confront the economic and security challenges facing the poorest and most violent nation in Central America.

Asfura’s rise to power, backed by U.S. President Donald Trump, marks the end of four years of left-wing rule and secures Trump another regional ally amid the advance of conservative governments in Chile, Bolivia, Peru, and Argentina.

The 67-year-old former mayor and construction businessman was sworn in during an austere ceremony at the National Congress, following a tightly contested election marred by opposition allegations of fraud and Trump’s threat to cut U.S. aid if his preferred candidate did not prevail.

Grateful for Washington’s support, Asfura—who is of Palestinian descent—traveled to the United States to meet with Secretary of State Marco Rubio, before visiting Israeli Prime Minister Benjamin Netanyahu.

“We need to strengthen relations with our most important trading partner,” Asfura said after being declared the winner of the November 30 election by a narrow margin, following a tense vote count that lasted just over three weeks.

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Bukele leads public trust rankings as UCA survey highlights gains in security

Results from the UCA Survey, conducted by the José Simeón Cañas Central American University (UCA), were presented on Tuesday, offering an assessment of the performance of the Government of El Salvador during 2025 and measuring public perception on key issues such as security and the economy.

According to the survey, President Nayib Bukele received an average score of 8.39 for his performance in 2025. In the category measuring levels of trust in national institutions and social actors, Bukele led the ranking with 77% public confidence, surpassing the Central Government (69.6%), the Armed Forces (69.1%), the National Civil Police (PNC), and the Catholic Church (58.4%), among others.

The survey also highlights an upward trend in the president’s evaluation. While Bukele scored 8.15 for his performance in 2024, the most recent assessment of his sixth year in office showed an increase to 8.39.

Meanwhile, the Government of El Salvador as a whole was rated 8.33 for its performance during 2025.

Respondents identified public security as the area showing the greatest progress in the country, with 62.7% recognizing improvements in this sector, according to the UCA survey released on Tuesday.

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