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Mining and Resource Mobilization for Social Development: The Case of Nicaragua

This paper seeks to contribute to the global debate on the political and institutional contexts that enable impoverished countries to mobilize domestic resources for social development. More specifically, the paper aims to contribute knowledge and policy analysis about how to improve understanding of the politics of domestic revenue mobilization from the mining industry and resource bargains in Nicaragua. The potential impact of mining on resource mobilization for social development in Nicaragua will be analysed using two entry points: Firstly, economic benefits of mining and, secondly, political and institutional aspects. The main hypothesis of this study is that current political and institutional aspects weaken the state’s ability to mobilize resources for social development from the mining industry.The results of the study indicate that the mining industry in Nicaragua provides some economic benefits. However, these benefits have been overshadowed by setbacks related to social and environmental impacts; specifically, the participation of civil society in decision-making.

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Financial Supporters: UNRISD

Citation: Gutierrez Elizondo, H. (2015) “Mining and Resource Mobilization for Social Development: The Case of Nicaragua”, Working Paper 2015-9, UNRISD, Geneva.

La versión en Español de este estudio estará prontamente disponible.

Esta es una publicación del Programa de Investigación de FIDEG sobre Economía Política y Desarrollo Inclusivo en conjunto con el Instituto de Investigación de las Naciones Unidas para el Desarrollo Social (UNRISD), en Ginebra.