Nations Barter Infrastructure Development For Food
Iran is to
help Nicaragua develop its infrastructure in return for farm
products, according to a trade deal between the two countries. Under
the agreement, Iran will help develop a port and build houses and
industrial sites. In return, Nicaragua will export coffee, meat, and
bananas to Iran.
The two
countries, which have strained relations with the U.S., have
improved ties since Daniel Ortega became Nicaragua’s President in
January 2007. Iranian President Mahmoud Ahmadinejad visited Managua
in January, and President Ortega returned the visit to Tehran in
June.
Under the
barter accords, Iran will fund a farm equipment assembly plant, four
hydroelectric plants, five milk-processing plants, a health clinic,
the building of 10,000 houses, and two piers in the western port of
Corinto.
The U.S.,
however, has warned Nicaragua that closer ties with Iran could harm
its relation with Washington.
