CentAm Watch: EU on Nicaragua; CR deficit a positive suprise

EU adopts Nicaragua resolution

The European Union said it is ready to use all peaceful means available to help prevent further human rights abuses in Nicaragua, where hundreds of people have died since the crackdown on anti-government protests last year.

"Recent measures targeting civil society organizations and independent media constitute another blow to democracy, human rights and civic freedoms aggravating the political and social crisis," the EU foreign ministers said in a statement.

"The EU firmly condemns the repression of the press and civil society and the use of anti-terrorist laws to repress dissenting opinions in Nicaragua," the statement continued, noting that the EU "underlines its readiness to use all its policy instruments to contribute to a peaceful negotiated way out of the current crisis and react to further deterioration of human rights and rule of law."

The EU statement comes roughly a week after the OAS permanent council began formal debate to invoke Article 20 of the Inter-American Democratic Charter - an emergency clause used in the event of threats to constitutional democracy. Nicaragua faces serious loss of foreign aid should that measure pass.

Sanctions could be the next step for the EU ministers; although, they were not mentioned explicitly in the statement issued Monday.

At least 325 people are believed to have died in the violent repression of the street protests that began on April 18, 2018 against cuts to social security, which were later canceled.

The EU statement called on the administration of President Daniel Ortega to "release all those that were unlawfully imprisoned and ensure due process and fair treatment at all stages." The Ortega regime claims those arrests were a response to a failed coup.

The ministers added, "The EU regrets that electoral reforms promoted by the OAS have been paralyzed. Therefore it urges the Nicaraguan government to re-engage in a process of meaningful and results-oriented dialogue and stands ready to support a mediation acceptable to all stakeholders and electoral reforms."

CR deficit a positive surprise

Costa Rica's finance ministry announced that the year-end 2018 fiscal deficit reached 6% of GDP, well below the 7.2% projected by the central bank.

In comments Monday, President Carlos Alvarado, touted the government's efforts to cut spending, fight tax evasion and improve cost efficiency as having helped the deficit actually fall to 6.0% of GDP from 6.2% in 2017.

Alvarado, shortly before heading to the WEF in Davos, said these measures as well as the recently passed fiscal reform package are evidence of his government's commitment to healing local public finances.

"Despite the fact that revenues fell 0.23% of GDP with respect to 2017, we managed to contain the expenditure at 0.39%, and this containment of expenditure, when we removed the interest payment, is 0.82% of GDP," finance minister Rocío Aguilar said, as quoted in the Tico Times.

Pictured: Nicaraguan citizens living in Costa Rica during a protest against the government of Nicaraguan President Daniel Ortega in San José on January 20.