Movistar Ramping Up Investment
An article in Telegeography says that Movistar is stepping up investment in Nicaragua. The statement raises a big question about who is investing in Nicaraguan infrastructure and why.
Leon de la Torre Krais, Spain’s ambassador in Nicaragua, who also participated in the talks with Ortega, described Telefonica as a ‘lever for economic and social growth in the field of technology and communication in Nicaragua, which will increase productivity, growth and social and cultural inclusion of all people’.
When Nicaragua was economically manipulated into selling off infrastructure, we saw Mexican and Spanish companies being the big players. Most telecommunications, all that was the government-owned Enitel, was bought up by Carlos Slim. Electricity infrastructure was bought up by Spanish energy giant Gas Natural Finosa.
The other communications provider who was owed by baby Bell Bellsouth was bought up by another Spanish giant Telefonica and re-branded as Movistar. If you do your research you will discover that there is a lot more Spanish investment in infrastructure in Latin America, all the way to Repsol, more of the Gas Natural Finosa structure, drilling for oil off the coast of Cuba.
What makes this particularly interesting is that Spain is one of the EU countries on the economic disaster list. Has Spain become the new world investor, investing in the new world while letting its domestic investment fall off? Has US investment in Latin America fallen off because the money just doesn't exist (how many usanos know that the richest person in the world is a Mexican?), US companies being afraid to invest in Latin America or Latin America being afraid of such investment (the Bectel/Cochabamba fiasco being a good example)?