Nicaragua to Sign Trade Agreements with Russia-Controlled Ukrainian Regions

Web Editor

September 8, 2025

a man and woman standing in front of flags clapping hands together with a woman standing behind them

Background on Key Figures and Context

Nicaragua, led by President Daniel Ortega and Vice President Rosario Murillo, is preparing to sign trade agreements with three Ukrainian regions currently under Russian control, according to a decree published in the official gazette on Monday.

Daniel Ortega, 77, and Rosario Murillo, 72, have granted their son Laureano Ortega Murillo, 48, “full powers” to sign commercial and economic cooperation agreements with the regions of Donetsk, Jersón, and Lugansk.

Laureano Ortega Murillo, the public face of the presidential couple’s offspring, has been instrumental in strengthening ties between Nicaragua and Russia, as well as China, in Central America.

Russian Invasion of Ukraine

The Russian military invaded Ukraine in February 2022, currently occupying approximately 20% of the country’s territory. Moscow claims that five Ukrainian regions—Donetsk, Jersón, Lugansk, Zaporizhia, and Crimea—are part of its territory.

Nicaragua has historically supported Russia’s recognition of separatist regions, including Abkhazia and South Ossetia in Georgia (2008), as well as Russia’s annexation of Crimea in 2014.

Deepening Ties with Russia

Since Ortega’s return to power in 2007, Nicaragua and Russia have maintained close economic and military cooperation. Ortega, a former ally of Moscow, governed Nicaragua from the Sandinista revolution’s victory in 1979 until 1990.

Russia’s military cooperation with Nicaragua has raised concerns in the United States, which views it as a threat to national security, according to U.S. diplomatic chief Marco Rubio.

Key Actions and Impact

  1. Decrees Issued: Two recent decrees have given Laureano Ortega Murillo the authority to sign trade agreements with Donetsk, Jersón, and Lugansk regions.
  2. Historical Context: Nicaragua has previously recognized separatist regions in Georgia and Russia’s annexation of Crimea, demonstrating its alignment with Moscow’s interests.
  3. Strengthened Ties: The Ortega administration has deepened economic and military cooperation with Russia since 2007, solidifying Nicaragua’s position as Russia’s key ally in Central America.

Key Questions and Answers

  • Who is Daniel Ortega? Daniel Ortega is the President of Nicaragua, who previously led the country from 1979 to 1990 following the Sandinista revolution.
  • Why are these trade agreements significant? These agreements symbolize Nicaragua’s strong alliance with Russia and its support for Moscow’s claims over Ukrainian territories.
  • What are the concerns of the United States? The U.S. views Nicaragua’s military cooperation with Russia as a potential threat to its national security.