The people of Germany and Nicaragua have enjoyed a close friendship for decades. This is due to the solidarity movements in both eastern and western Germany in the 1980s, when civil war raged in Nicaragua following the Sandinista revolution of 1979. For many years, understanding between the two countries was fostered by some thirty town twinning partnerships and a large number of private initiatives in Germany (Nicaragua Associations), as well as the German‑Nicaraguan Culture Initiative in Managua (Iniciativa Cultural Alemana Nicaragüense – ICAN). Currently, civil society cooperation is greatly hampered by a continuing series of repressive laws and measures on the part of the Nicaraguan Government.

There are close historical ties between the two countries dating back to the 19^th century when Germans emigrated to Nicaragua. The German influence can be felt even today, particularly in the coffee-growing region in the north. Around 1000 Germans live in Nicaragua and a few hundred Nicaraguan nationals live in Germany.

In addition to the German Embassy, the only German institution still active in Nicaragua is a bilingual German School. The German school in Managua is considered to be one of the best schools in the country and, through its alumni, its influence can be felt in all areas of Nicaraguan society. The bilateral Chamber of Commerce was recently closed by the Government.

The companies Ritter Sport and Dräxlmaier are among the most important German investors in Nicaragua. Following the COVID-19 pandemic and despite the ongoing political crisis, a growing number of German tourists are rediscovering the land of lakes and volcanoes as a holiday destination.

Germany was previously one of the country’s principal bilateral donors with development cooperation worth a total of roughly one billion euro. Technical cooperation ended on 31 December 2023; Kreditanstalt für Wiederaufbau (KfW) is finalising a project in the water sphere.

Against the backdrop of the continuing repression, the German Government and the international community are working in multilateral forums for the restoration of the rule of law and of civil liberties, as well as the release of political prisoners.