As we close this edition of Nicaraguan Developments, the Atlantic Coast of Nicaragua has been hit hard by Hurricane Felix, a Category 5 storm. It is still unknown how many have died, but the numbers could reach several hundred. Property damage has been huge. Provisional calculations say at least 17,000 homes were destroyed or damaged, exacerbating one of the most acute needs in Nicaragua.

Unfortunately, natural disasters tend to be one of the few ways to remind us that the Atlantic Coast exists, and that the needs of its people go far beyond any emergency assistance. Perhaps this time, things could be different if our relief effort has a more long-term vision as a way to provide long-term responses to the overwhelming needs of their ethnically diverse population.

One of the most recent and best studies on the Atlantic Coast was produced by the Nicaraguan office of the United Nations Development Project (UNDP) in 2005, as part of its Human Development Reports. This report, available only in Spanish, was entitled “Las Regiones Autónomas de la Costa Caribe. Nicaragua asume su diversidad?” (The Autonomous Regions of the Caribbean Coast: Is Nicaragua taking its diversity into account?) Among other important information, the report shows the results of a very interesting survey on the opinions of the people living in the Atlantic Coast about their own material needs. The responses to the following question caught my attention: “What do you need to be able to improve your family’s living conditions?”

Three main answers accounted for almost 80% of the total responses. 34% said “land,” an especially important need for the “mestizo” population (45%), but significantly lower for the Miskitos (12%) and the Ramas (11%). The second most common response was “loans,” with 33%. However, if we look closely by ethnic group, we find that credit is the main need across the groups. That was the main response for 53% of the Miskitos, 42% of the Ramas and Garifunas, but 26% for mestizos and Mayagnas. Finally, the third response was “cattle” with 11%, but it was only 2.8% for the Creole or Black and 6% for the Ramas. However, the reality is that microcredit programs for the populations on the Atlantic Coast are still in their infancy, and only a handful of organizations are providing services there. The challenge is to create and/or expand financial services that are tailored to the particular needs of this region. WCCN will do its part.

In this edition of Nicaraguan Developments, we continue our tradition of presenting a variety of topics. We open with an article on the destruction caused by Hurricane Felix. We also include an interview with Michael Radtke, a WCCN member and regular participant on WCCN’s study tours. I wrote an article that puts the microfinance industry in the context of the credit landscape in Nicaragua. Emily Allred, Loan Fund Manager of the NICA Fund, introduces us to CEPRODEL, our newest NICA Fund partner agency. Asha Misra, a UW-Madison student and intern at WCCN, wrote on a research project WCCN is doing on the possible relationship between women’s access to land and domestic violence. I would like to end by calling on your well-known generosity and proven solidarity with all suffering people, this time those on the Nicaraguan Atlantic Coast— the poorest of the poor. Your support will be greatly appreciated and well used.

Sincerely,

Carlos Arenas
Executive Director of WCCN