Level of Government: Central
Measures: Law No. 800, Law on the Legal Regime of the Nicaraguan Grand Interoceanic Canal and the Creation of the Nicaraguan Grand Interoceanic Canal Authority, published in La Gaceta, Diario Oficial, No. 128 of July 9, 2012.
Law No. 840, Special Law for the Development of Infrastructure and Nicaraguan Transportation Related to the Canal, Free Zones Commerce and Associated Infrastructures, published in La Gaceta, Diario Oficial, No. 110 of June 14, 2013.
Description: Investment and Cross-Border Trade in Services
The Authority of the Grand Interoceanic Canal of Nicaragua will determine the economic activities that can be carried out in the special economic zone, as well as the applicable regulations for each of these activities, in coordination with the competent authorities of the state.
Nicaragua grants exclusive concession to Empresa Desarrolladora de Grandes Infraestructuras, S.A. and its assignees for the Development and operation of each Sub- Project contemplated in the Nicaraguan Interoceanic Grand Canal Project in accordance with the provisions of the Framework Concession Agreement for a term of 50 years from the start of commercial operations, subject to the extensions contemplated in the Concession Framework Agreement and extendable in each case for a period of 50 additional years, which will begin immediately after the expiration of the initial term.
Annex I Entry 25 – Transport – Air Transport
Sector: Transport - Air Transport
Obligations Concerned: National Treatment (Articles 8.2 and 11.2) Most Favored Nation Treatment (Articles 8.3 and 11.3) Local Presence (Article 8.5) Senior Management and Boards of Directors (Article 11.9)
Level of Government: Central
Measures: Law No. 595, and its amendment Law No. 988, General Civil Aeronautics Law, published in La Gaceta, Diario Oficial, No. 193 of October 5, 2006 and its Consolidated Text, published in La Gaceta, Diario Oficial, No. 17 of January 26, 2021.
Description: Investment and Cross-border trade in services
To own a Nicaraguan-registered aircraft, it requires:
1. be a Nicaraguan natural or legal person; in the case of several co- owners, the majority whose rights exceed half the value of the aircraft, must maintain their real domicile in Nicaragua; or if it is a legal person, company or association, be constituted in accordance with the laws of the Republic or have legal domicile in Nicaragua;
2. To be foreign natural person with a permanent address in Nicaragua;
3. To be foreign person not domiciled in Nicaragua, as long as there is a credit purchases-and-sales contract or leasing with or without an option to buy. The registration and the enrollment are provisional.
Annex I Entry 26 – Transport – Air Transport
Sector: Transport - Air Transport
Obligations Concerned: National Treatment (Article 8.2) Most-Favored-Nation Treatment (Article 8.3) Local Presence (Article 8.5) Senior Management and Boards of Directors (Article 11.9)
Level of Government: Central
Measures: Law No. 595 and its amendment Law No. 988, General Civil Aeronautics Law, published in La Gaceta, Diario Oficial, No.193 of October 5, 2006 and its Consolidated Text, published in La Gaceta, Diario Oficial, No. 17 of January 26, 2021and its amendments.
Description: Cross-border trade in services
To be the owner of a Nicaraguan-registered aircraft that provides complementary services for air transport, it is required to be a Nicaraguan natural or legal person.
To carry out aerial work in any of its specialties, individuals or companies must obtain prior authorization from the Aeronautical Authority and comply with the applicable provisions, technical regulations and be subject, among others, to the following requirements:
1. possess technical and economic capacity according to the specialty in question; and
2. operate with Nicaraguan registered aircraft.
The Aeronautical Authority may dispense with the Nicaraguan nationality of the owner and the aircraft when, in the country, there are no companies or aircraft capable of carrying out a certain specialty of aerial work.
The operation of the air transport service within the national or internal territory may only be carried out by Nicaraguan natural or legal persons.
In the case of the person who commercially exploits the internal air transport service, is a legal person, the president of the Board of Directors or Administration Council must be Nicaraguan, and at least 51% of the directors must be of Nicaraguan origin.
Exceptionally, when there are reasons of general interest, the Aeronautical Authority may authorize foreign companies to carry out internal flights, as well as the provisions of Law 595.
The aeronautical personnel who work in the national air transport services must be of Nicaraguan nationality. In the absence of this, duly verified, non-Nicaraguan personnel maybe hired in accordance with the provisions of national legislation.
Annex I Entry 27 – Professional Services
Sector: Professional Services
Obligations Concerned: National Treatment (Article 8.2) Most Favored Nation Treatment (Article 8.3) Local Presence (Article 8.5)
Level of Government: Central
Measures: Decree - Law No. 132, Law for the Incorporation of Professionals in Nicaragua, published in La Gaceta, Diario Oficial, No. 47 of November 2, 1979.
Decree A.N. No. 7539, Decree of Approval of the "Agreement on the Exercise of University Professions and Recognition of University Studies, published in La Gaceta, Diario Oficial, No. 131 of July 15, 2014.
Description: Cross-Border Trade in Services
Foreign professionals may practice in Nicaragua in the manner and subject to the same conditions as in their home country are permitted for Nicaraguans people.
Nicaragua agrees that, if the jurisdiction in a foreign country allows the Nicaraguan nationals to request and receive the licenses or certificates required to practice a profession in such jurisdiction, it will be also allowed to a foreigner who has a license or a certificate to practice a profession in suchjurisdiction, to apply for and receive a license o certificate requested to practice in Nicaragua.
Additionally, the relevant professional association in Nicaragua will acknowledge a license granted by a foreign jurisdiction and will allow the license holder to register in the association and to practice the profession in Nicaragua based on the foreign license, in the following cases:
a. no academic institution in Nicaragua offers a study program that would allow the practice of the profession in Nicaragua;
b. the license holder is a recognized expert in his profession;
c. allowing the professional to practice in Nicaragua will deepen, through training, demonstration or other similar opportunity, the development of the profession in Nicaragua.
The Central American nationals by birth who has obtained a Professional Degree or an equivalent Academic Diploma, in one of the Central American countries that legally enable him to practice a university profession will be admitted to the practice such activities in Nicaragua, provided it complies the same requirements and formalities that, for such exercise, it is required to Nicaraguans university graduates. The above provision shall apply while the person concerned retains the nationality of one of the countries of Central America.
Annex I Entry 28 – Public Accounting and Auditing Services Provided to Companies
Sector: Public Accounting and Auditing Services Provided to Companies
Obligations Concerned: National Treatment (Article 8.2) Local Presence (Article 8.5)
Level of Government: Central
Measures: Law No. 6, Law for the Practice of Public Accountant, published in La Gaceta, Diario Oficial, No. 94 of April 30, 1959 and its Consolidated Text, published in La Gaceta, Diario Oficial, No. 72 of April 21, 2022.
Description: Cross-border Trade in Services
Foreign firms and associations of Public Accountants, Auditors or Accountants, in their individual or corporate capacity, may not practice the profession in Nicaraguan territory, nor any activity related to it, if they do not do so through a Nicaraguan firm or association of Authorized Public Accountants, or through a firm foreigner with residence or domicile in the country.
Annex I Entry 29 – Professional Services - Notary
Sector: Professional Services - Notary
Obligations Concerned: National Treatment (Article 8.2) Most-Favored-Nation Treatment (Article 8.3)
Level of Government: Central
Measures: Law No. 260, Organic Law of the Judiciary of the Republic of Nicaragua, published in La Gaceta, Diario Oficial, No. 137 of July 23, 1998.
Decree No. 63-99: Regulation of Law 260, "Organic Law of the Judiciary of the Republic of Nicaragua" and its amendments, published in La Gaceta, Diario Oficial, No. 104 of June 2, 1999.
Decree No.132, Law for the Incorporation of Professionals in Nicaragua, published in La Gaceta, Diario Oficial, No. 47 of November 2, 1979.
Law on Notaries, Annex to the Code of Civil Procedure of Nicaragua and its Consolidated Text, Law that gives greater utility to the institution ofnotaries, Published in La Gaceta, Diario Oficial, No. 197 of October 20, 2022.
Description: Cross-Border Trade in Services
Public Notaries must be Nicaraguans of origin authorized by the Supreme Court of Justice to practice that profession.
Central American nationals by birth can also be authorized to exercise as public notaries in the Republic after residing at least for five years in Nicaragua, provided that they are allowed to exercise as public notaries in their own countries, and that Nicaraguans are authorized to exercise as public notaries in their respective countries
Annex I Entry 30 – Custom Brokers
Sector: Customs Brokers
Obligations Concerned: National Treatment (Article 8.2) Most-Favored-Nation Treatment (Article 8.3) Local Presence (Article 8.5)
Level of Government: Central
Measures: (Modification of the Central American Uniform Customs Code (CAUCA)), RESOLUTION No. 223-2008 (COMIECO-XLIX), approved on April 25, 2008, published in La Gaceta, Diario Oficial, No. 135 of July 16, 2008, RESOLUTION No. 223-2008 (COMIECO-XLIX), Ministerial Agreement No. 033-2008.
Resolution No. 224-2008 (COMIECO-XLIX), Regulation of the Central American Uniform Customs Code (RECAUCA), published in La Gaceta, Diario Oficial, No. 136, 137, 138, 139, 140, 141 and 142 of July 17, 18, 21, 22, 23, 24 and 25, 2008 respectively.
Law No. 265, Law that Establishes Self-clearance for Import, Export and other Regimes, published in La Gaceta, Diario Oficial, No. 219 of November 17, 1997 and its Consolidated Text, published in La Gaceta, Diario Oficial, No. 72 of April 21, 2022.
Description: Cross-border trade in services
They can only be customs agents and obtain a license granted by the Ministry of Finance and Public Credit:
a) Nicaraguan citizens who are in full exercise of their rights;
b) Central Americans with a bachelor's degree in customs matters or other study disciplines as long as they prove at least 2 years of experience in customs matters; either
c) Foreigners from a country that allows Nicaraguans to act as customs agents.
A company operating as a customs broker in Nicaragua must be organized under Nicaraguan law and at least one officer of the customs company must have a valid license.
Annex I Entry 31 – Scientific Research Services
Sector: Scientific Research Services
Obligations Concerned: National Treatment (Article 8.2) Local Presence (Article 8.5)
Level of Government: Central
Measures: Law No. 316, General Law on the Exploitation of Our Natural Resources, published in La Gaceta, Diario Oficial, No. 83 of April 17, 1958.
Description: Cross-Border Trade in Services
Non-resident foreign nationals or their agents, although they are residents in Nicaragua, wishing to carry out an investigation, will need a recognition permit.
The recognition permit only authorizes to carry out preliminary investigations for the knowledge of the existence of natural wealth, they may not carry out works or acts for which only the holder of an exploitation license or an exploration or exploitation concession is authorized.
All concessioner or foreign license holder has the obligation to maintain a representative in Nicaragua with sufficient authority at all times.
Annex I Entry 32 – Real Estate Services
Sector: Real Estate Services
Obligations Concerned: Local Presence (Article 8.5)
Level of Government: Central
Measures: Law No. 1129, Nicaraguan Real Estate Brokerage Law, published in La Gaceta, Diario Oficial, No. 169 of September 8, 2022.
Decree No. 21-2022, Regulation of Law No. 1129, Nicaraguan Real Estate Brokerage Law, published in La Gaceta, Diario Oficial, N° 212 of November 11, 2022.
Description: Cross-Border Trade in Services
The natural persons who apply for a real estate broker's license must be Nicaraguan citizens or foreigners with a legal permanent resident card in Nicaragua and with permission to work.
The Real Estate Brokerage Companies will exercise through their legal representative the activities of Real Estate Brokerage and will accredit their real estate agents, in accordance with the laws of the country.
Annex I Entry 33 – Potable Water, Sanitary Sewer Systems, and Sewage Collection and Disposal
Sector: Potable Water, Sanitary Sewer Systems, and Sewage Collection and Disposal.
Obligations Concerned: Market Access (Article 8.4)
Level of Government: Central
Measures: Law No. 620, General National Water Law, published in La Gaceta, Diario Oficial, No. 169 of September 4, 2007.
Law No. 276, Law for the Creation of the Nicaraguan Enterprise of Aqueduct and Sewage (ENACAL), published in La Gaceta, Diario Oficial, No. 12 of January 20, 1998 and its C onsolidated Text, published in La Gaceta, Diario Oficial, No. 197 of October 20, 2022.
Description: Cross-border Trade in Services
The establishment, construction, and development of public works for the supply and distribution of drinking water, and collecting and disposing of wastewater, may only be performed by the Nicaraguan Enterprise of Aqueducts and Sewage (Empresa Nicaragüense de Acueductosy Alcantarillados Sanitarios - ENACAL).
ENACAL is the State entity responsible for providing potable water and collecting and disposing of wastewater, and has the following functions:
a) to catch, treat, conduct, store, distribute, and sell potable water; and to gather, treat and finally dispose of liquid waste;
b) to purchase natural water, purchase and sell potable water, as well as to commercialize the services of collection, treatment and final disposal of wastewater;
c) to take all necessary measures so that the release of treated wastewater minimizes the environmental impact;
d) to develop the Company’s Expansion Plan for the short, medium and long terms;
e) to research, explore, develop, and exploit the water resources; and
f) to carry out any other activity required for its development.
Annex I Entry 34 – Airports
Sector: Airports
Obligations Concerned: Market Access (Article 8.4)
Level of Government: Central
Measures: Decree Law No. 1292, Law of the International Airports Administration Company, published in La Gaceta, Diario Oficial, No. 186 of August 16, 1983 and its Consolidated Text, published in La Gaceta, Diario Oficial, No. 17 of January 26, 2021.
Description: Cross-Border Trade in Services
The establishment, operation, administration, execution of works and provision of services in international airports correspond to the International Airport Administration Company (Empresa Administradora de Aeropuertos Internacionales - EAAI).
The administration of state and private airports or aerodromes for international operations will be managed solely by the EAAI Airport Administration Company.
Annex I Entry 35 – Energy - Transmission
Sector: Energy - Transmission
Obligations Concerned: Market Access (Article 8.4)
Level of Government: Central
Measures: Law No.272, Law of the Electricity Industry, published in La Gaceta, Diario Oficial, No.74 of April 23, 1998, Consolidated Text in Law No. 1045, Law of the Nicaraguan Legal Digest of the Energy and Mining Sector, published in La Gaceta, Diario Oficial, No. 130 of July 14, 2021; and amendments thereto.
Decree No. 42-98, Regulation of the Electricity Industry Law, published in La Gaceta, Diario Oficial, No. 176 of September 17, 2012, text consolidated in Law No. 1045, Law of the Nicaraguan Legal Digest ofthe Energy and Mining Sector, published in La Gaceta, Diario Oficial, No. 130 of July 14, 2021; and amendments derived therefrom.
Law No. 583, Law Creating the National Electric Transmission Company, ENATREL, published in La Gaceta, Diario Oficial, No. 4 of January 5, 2007 and its Consolidated Text in Law No. 1045, Law of the Nicaraguan Legal Digest of the Energy and Mining Sector, published in La Gaceta, Diario Oficial, No. 130 of July 14, 2021; and derived therefrom.
Law No. 1056, Law of Sovereign Assurance and Guarantee of Electricity Supply to the Nicaraguan Population, published in La Gaceta, Diario Oficial, No. 237 of December 22, 2020.
Description: Cross-Border Trade in Services
Only the National Electricity Transmission Company (Empresa Nacional de Transmisión Eléctrica, ENATREL), a decentralized public company of the State, can supply the Public Electric Power Transmission Service. Private companies can develop secondary transmission lines in accordance with the agreements or contracts signed with ENATREL.
Annex I Entry 36 – Postal Services
Sector: Postal Services
Obligations Concerned: Market Access (Article 8.4)
Level of Government: Central
Measures: Law No. 758, General Law of Posts and Postal Services of Nicaragua, published in La Gaceta, Diario Oficial, No. 96 and 97 of May 26, 2011 and its C onsolidated Text, published in La Gaceta, Diario Oficial, No. 242 of December 18, 2019.
Executive Decree N◦. 56-2011, General Regulations to Law N° 758 General Law of Posts and Postal Services of Nicaragua, published in La Gaceta, Diario Oficial, N◦. 210 of November 7, 2011 and its Consolidated Text, published in La Gaceta, Diario Oficial, No. 242 of December 18, 2019.
Description: Cross-Border Trade in Services
Basic postal services, mandatory supplementary postal service, express mail or express delivery courier service, postal telecommunications service, and other public services specific to the business and institutional line ofbusiness, require a concession issued by the Nicaraguan Institute of Telecommunications and Postal Services (Instituto Nicaraguense de Telecomunicaciones y Correos - TELCOR) to provide the service and may be obtained by natural or legal persons, once the established requirements are met, for a duration often (10) years.
Annex I Entry 37 – Telecommunications
Sector: Telecommunications