Latin America Collection

The major roadblocks are:
(1) Unpredictability of enforcement of contracts and a
cumbersome legal system. This has improved in recent years, but
still has a way to go. Requests for bribes do occur.
(2) Pending resolutions of Sandinista-era property claims
(including U.S. citizen claimants). Potential investors should
consult a local attorney to verify property titles before purchasing
property.
(3) Sometimes high operating costs in terms of transportation
and telephone. Power outages also lead to higher costs.
(4) An incomplete intellectual property rights regime. New
copyright legislation was passed July 5, 1999, which strengthens
copyright law, but enforcement and respect of copyright is still
generally lax.
(5) Arbitrary or slow bureaucracy. Doing business in Nicaragua
can sometimes mean becoming involved with slow-moving
government approvals. Foreign investors also complain about
arbitrary customs procedures and valuations.