US State Department Cautions Against Investments in Nicaragua After Border Land Grab

The seizure of land near its borders threatens thousands of livelihoods and creates major risks for foreign investment, according to the State department.

Image released by the official media outlet El 19 Digital showing Nicaraguan President Daniel Ortega arriving at a military promotion ceremony in Managua on June 2, 2025. Jairo Cajina/El 19 Digital/AFP via Getty Images

The U.S. State Department has warned Americans about the risks of investing in Nicaragua following a significant government seizure of border land.

“The Murillo-Ortega regime’s massive seizure of all land within 15 kilometers of Nicaragua’s borders upends scores of communities and puts at risk the lives and livelihoods of thousands of people across our region,” the department’s Bureau of Western Hemisphere Affairs (WHA) wrote in a statement on X on Aug. 9.