Representatives of President Daniel Ortega and the opposition have begun talks aimed at resolving Nicaragua's political crisis. Earlier, authorities released dozens of people arrested in last year's crackdown.
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Representatives of President Daniel Ortega's leftist government and the opposition have begun talks aimed at ending a political crisis that has plunged the Central American country into a deep recession.
Ortega did not participate in the talks outside the capital, Managua, where government members, business representatives, students and opposition politicians met under the mediation of Catholic Cardinal Leopoldo Brenes.
Ahead of the latest dialogue, dozens of prisoners were released from La Modelo prison outside Managua.
One of the opposition's primary demands has been for the government to release more than 700 people jailed during the demonstrations triggered last April over pension reform, but that turned into calls for Ortega to resign.
The government did not say how many were let go on Wednesday, but the Permanent Commission on Human Rights said around 100 prisoners were released. It was unclear how many of them would remain under house arrest.
Ortega, a former guerilla fighter who was elected in 2006, implemented a deadly crackdown last year in response to mass protests. At least 325 people were killed, around 2,000 wounded, hundreds imprisoned and thousands forced to flee the country by the time the protests ended in October.
Critics have accused Ortega of forming a corrupt dictatorship and eroding human rights.
The political crisis led to Nicaragua's economy shrinking 4 percent last year. The economy could contract as much as 11 percent in 2019, according to some economists.
On Tuesday, Ortega's Sandinista-dominated parliament approved a controversial tax bill that aims to raise $307 million (€269 million) to cover a widening deficit.
The tax reform will raise prices on basic goods, critics argue, putting pressure on a population already suffering from poverty. Businesses say the tax bill will hit economic growth.
Continued protests have thrown the Central American nation into political disorder. DW looks at the key events that led to the chaos.
Image: picture-alliance/dpa/C. Herrera
Daniel Ortega: A Cold War relic
Embattled President Daniel Ortega has been a fixed presence in Nicaraguan politics for decades. Following the fall of longtime dictator Anastasio Somoza, Ortega became president in 1985, heading the leftist Sandinista National Liberation Front. With deep ties to Fidel Castro, he faced US opposition. The Reagan Administration supported a right-wing guerrilla movement aimed at bringing him down.
Image: picture-alliance/ZUMAPRESS/S. Mc Kiernan
Opposition figure and return to power
After losing re-election in 1990, Ortega became a major opposition figure. Ortega finally won the presidency in 2006, riding the wave of leftist presidents in Latin America. He became a close friend and ally of Hugo Chavez. He has since changed tack, allying himself with the country's traditionally right-wing business community and clergy.
Image: picture-alliance/dpa/epa/M. Lopez
Nicaraguan government consolidates power
Coupled with changes in electoral law, Ortega has prolonged and cemented his rule. In 2016, he barred international observers and nominated his wife as vice-president. The pair won the election, which was condemned by the opposition and criticized internationally by the US, OAS and the EU.
Image: Getty Images/AFP/R. Arangua
Pension reform attempt
In April 2018, Ortega announced a move to reform Nicaragua's pension system, saying that fiscal changes were needed. The reform sought to impose a 5 percent tax on retiree and disability pensions while increasing social security contributions by up to 22.5 percent. The move unleashed large-scale protests nationwide, which have been the biggest challenge Ortega has faced during his modern tenure.
Image: picture-alliance/AP Photo/A. Zuniga
State repression and clergy mediation
The pension plan was abandoned but protests continued, demanding Ortega's ouster. UN Human Rights experts denounced the state's harsh repression. As the death toll rose, Nicaragua's Catholic Church has demanded that Ortega allow international organizations entry to Nicaragua to help investigate the deaths and tried to set up talks between the opposition and the government.
Image: picture alliance/AP Photo
Government and opposition sit down
The opposition, comprised of students and a wide range of civil society groups, sat down with the government for a round of talks on May 16. The Clergy said the talks would be focused on "justice, democratization, and peace." The opposition's main demand: new presidential elections in 2019. The government rejected the demands and talks broke down.
Image: Reuters/J. Cabrera
Catholic Church under fire
Bishops and priests in the strongly Catholic country have played a key role in the crisis. In addition to mediating the peace talks that stalled in June, the bishops have also seconded the call for new elections. Ortega has described the bishops as "coup-plotters" against him, and Catholic leaders have faced threats, harassment and attacks. Protesters have marched in support of the priests.
Image: Getty Images/AFP/I. Ocon
Students as prime targets
University students have been the vanguard of the anti-Ortega movement. Many violent crackdowns have taken place on university campuses, often involving heavy gunfire. While the students say that paramilitaries loyal to Ortega are behind the shootings, the president denies that the armed individuals are under government control. He has also described the protesters as "terrorists" and "criminals."
Image: Image/Agencia EFE/J. Torres
Stalemate and instability
The death toll in four months of violence has risen to over 300 according to human rights activists, though the Ortega government says it's around 200. Protesters continue to take to the streets, describing torture, blacklists and job dismissals as repercussions for their demonstrations. In addition, the UN says over 20,000 people have sought asylum in Costa Rica in a crisis with no end in sight.
Luis Carrion, a former Sandinista guerrilla commander who is now in the opposition camp, said Ortega "is not seeking in good faith a real solution to the crisis."
"His goal is to break his isolation and avoid international sanctions, to preserve his power and to remain in the presidency until 2021," he said.