Central America

EU, US widen Nicaragua sanctions as Ortega begins new term

AFP

Daniel Ortega was sworn in Monday as Nicaragua’s president for a fourth straight term as the EU and US tightened sanctions over impugned elections held in November with all his challengers in jail.

“Yes, I swear,” said strongman Ortega as he and his wife Rosario Murillo, who was re-elected vice-president, were sworn in at a ceremony attended by the presidents of Cuba and Venezuela and envoys from China, Russia, Iran, North Korea and Syria, among others.

Even before the event got under way, the European Union announced fresh sanctions against individuals it accuses of “undermining democracy” and human rights abuses in Nicaragua, including Ortega’s daughter and a son — both working as presidential advisors.

Others sanctioned “in view of the worsening situation in Nicaragua” were senior officials of the country’s police force and electoral body, said the EU.

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In Washington, the US Treasury placed sanctions on six regime officials, including two generals, the defense minister, the head of the Supreme Electoral Council and officials of the telecommunications regulator, who allegedly ran a social media troll farm to help Ortega.

Travel restrictions were imposed on 116 individuals tied to the regime, including mayors, prosecutors, security and university officials “complicit in undermining democracy,” US Secretary of State Antony Blinken said in a statement.

In his inaugural address, Ortega, 76, mocked the sanctions, calling them a “decoration” for Brenda Rocha, the electoral council head, who was one of the officials sanctioned.

He called the US measures “cowardly” and “cruel (…) not just to Nicaragua” but also to Cuba and Venezuela, which have also been subjected for years to “brutal sanctions” that he said must cease.

– Russia and China –

In the months leading up to the November 7 vote, Nicaraguan authorities detained nearly 40 opposition figures, including seven would-be presidential challengers, assuring victory for long-time ruler Ortega.

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As the international community rained opprobrium and sanctions on Ortega, he sought to improve ties with economic giants China and Russia.

Managua switched diplomatic recognition from Taiwan to Beijing, in return for which China reopened its embassy in the Central American nation and donated thousands of coronavirus vaccines.

Moscow, in response to outreach from Managua, provided the country with wheat, vaccines, even buses for public transport.

A firebrand Marxist in his youth, Ortega ruled Nicaragua from 1979 to 1990, after leading a guerrilla army that ousted US-backed dictator Anastasio Somoza.

Returning to power in 2007, he has won re-election three times, becoming increasingly dictatorial and quashing presidential term limits.

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Ortega, with Murillo on his ticket, garnered 75 percent of the vote in November.

The election took place without independent international observers and with most foreign media denied access to the country.

The Nicaraguan parliament is dominated by Ortega allies, who also control the judiciary and electoral bodies.

Days before the election, Facebook announced it had closed a Nicaraguan government troll farm spreading anti-opposition messages.

Besides Rocha, the head of the Supreme Electoral Council, the European Union also imposed sanctions on the council’s deputy head and a senior official who was acting chief in 2018.

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The country’s telecoms enterprise was also listed for its bid “to silence independent media” and spread “disinformation.”

– ‘Sham’ –

US President Joe Biden has slammed the vote as a “sham” and the Washington-based Organization of American States (OAS) said it was “not free, just or transparent.”

As sanctions were almost immediately announced by the US, EU, Canada, and Britain, Russia attacked the West for not recognizing the results.

“We consider this unacceptable and we strongly condemn such a stance,” Russian Foreign Minister Sergei Lavrov said in November.

The US State Department says Ortega’s regime continues to hold 170 political prisoners.

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They include some 120 people who participated in anti-government protests in 2018 that were brutally repressed, causing more than 300 deaths and sending more than 100,000 people into exile, according to the Inter-American Commission on Human Rights.

Ortega insists the jailed are criminals and “terrorists” seeking to overthrow him with help from the United States.

Dozens of Nicaraguan exiles protested in neighboring Costa Rica on Sunday against Ortega’s inauguration.

The protest came on the same day that Nicaragua’s new parliament, also elected in November and dominated by Ortega’s left-wing Sandinista National Liberation Front, was officially opened.

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Central America

U.S. and Guatemala Sign Trade Deal Granting Zero Tariffs to Most Exports

The United States signed a reciprocal trade agreement with Guatemala on Friday, under which 70.4% of Guatemalan exports will enter the U.S. market tariff-free.

Guatemalan President Bernardo Arévalo highlighted the importance of the agreement, stating that it creates a framework of cooperation, certainty, and new opportunities for producers, workers, and entrepreneurs in the country. His remarks were shared in a video published on his official social media channels.

In 2025, 30.3% of Guatemala’s total exports were destined for the United States, amounting to approximately $4.3 billion. As a result, the agreement is expected to directly benefit key sectors of the Guatemalan economy, including agribusiness, manufacturing, and the textile industry.

“Today we have taken another step toward consolidating a country that, when it moves forward united, generates confidence, attracts investment, and creates real development opportunities for all its people,” Arévalo added.

The agreement with Guatemala follows a similar trade deal signed by the United States with El Salvador on Thursday, which includes the elimination of a 10% tariff on Salvadoran imports.

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Central America

Panama Supreme Court Strikes Down Panama Ports Concession as Unconstitutional

Panama’s Supreme Court of Justice has ruled unconstitutional the concession contract granted in 1997 to Panama Ports Company (PPC), a subsidiary of the Chinese conglomerate CK Hutchison, which operates two strategic ports along the interoceanic canal. The decision was announced on Thursday, January 29, 2026, following two lawsuits filed by the Comptroller General’s Office.

The ruling directly affects the management of the ports of Balboa, on the Pacific coast, and Cristóbal, on the Atlantic side, both of which have been operated by the company for nearly three decades. According to Panama’s Comptroller General, Anel Flores, an audit uncovered irregularities in the contract that resulted in more than $1.3 billion failing to enter state coffers.

“It is a predatory contract, abusive to the interests of the country,” Flores stated.

The Supreme Court determined that Law 5 of 1997, its subsequent amendments, and the automatic extension granted in 2021 are unconstitutional. The ruling noted that the contract renewal took place without adequate oversight and amid allegations of corruption, despite the Panamanian state holding only a 10% stake in the company.

Central America

Guatemala President Says Starlink Terminal Found Inside Prison

Guatemalan President Bernardo Arévalo revealed on Tuesday that a Starlink terminal was discovered inside a prison in the country, highlighting corruption and the illegal introduction of advanced communication technology into the penitentiary system.

Arévalo did not specify which prison the device was found in but stressed that Starlink’s ability to connect directly to low-orbit satellites makes it particularly difficult to disrupt, posing a serious security risk.

The disclosure was made during a press conference attended by Interior Minister Marco Antonio Villeda and Defense Minister Henry Sáenz.

On January 6, specialized units of Guatemala’s National Civil Police (PNC), members of the Army and prison security personnel carried out Operation Sentinel at the Renovación 1 Maximum Security Prison for Men, located in Escuintla. According to the Interior Ministry, the operation aimed to reduce criminal activity, prevent illicit acts and stop the trafficking of prohibited items inside the prison.

During the operation, authorities also dismantled businesses operating near several prisons after detecting routers that were allegedly used to redirect internet signals into penitentiary facilities, according to local outlet Emisoras Unidas.

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Tensions escalated further over the weekend of January 17 and 18, when inmates affiliated with gangs staged riots in three prisons. During the unrest, they took prison guards and a psychologist hostage, demanding extra-large beds, air conditioning, transfers to other facilities and access to the internet.