Direct foreign investment in Nicaragua was $290 million in 2006, compared to $241 million in 2005. According to the Economic Commission for Latin America and the Caribbean (ECLAC), part of this increase was due to the ratification of the Central America-Dominican Republic Free Trade Agreement with the USA (CAFTA-DR).
Foreign investment has been key to recent growth of the country’s economy. Retail trade and the garment industry (free trade zone manufacture of apparel items) are among the sectors attracting the most investment, along with telecommunications, tourism, and finances.



