Nicaragua’s alternative Panama canal plans

Plans for an inter-oceanic canal in Nicaragua have been announced by Hong Kong-based HK Nicaragua Canal Development Investment and its local arm HKND. The US$40 billion project involves the construction of an alternative to the Panama Canal. The proposed 280 kilometre, which aims to compete with the Panama canal, would connect Nicaragua's Caribbean and Pacific coasts. It includes the development of a deepwater port at each end of the canal, an oil pipeline running alongside it a dry canal for the transpo
July 24, 2014 Read time: 2 mins

Plans for an inter-oceanic canal in Nicaragua have been announced by Hong Kong-based HK Nicaragua Canal Development Investment and its local arm HKND.

The US$40 billion project involves the construction of an alternative to the Panama Canal. The proposed 280 kilometre, which aims to compete with the Panama canal, would connect Nicaragua's Caribbean and Pacific coasts. It includes the development of a deepwater port at each end of the canal, an oil pipeline running alongside it a dry canal for the transportation of cargo via freight rail lines, a new airport, highways, free trade zones, and a tourist complex.

Once under way, construction would take at least ten years and could generate 40,000 jobs and double the country's GDP per capita.

However, the plans have raised concerns from several environmental organisations. HKND has yet to carry out an environmental impact study and environmental reports say the route calls for the removal of 400,000 hectares of forests and wetlands, encroachment into indigenous communities and the contamination of Nicaragua's largest freshwater source, Lake Nicaragua.

Related Content

  • Rwanda's mobility plan in seven junctions
    June 16, 2025
    ITS improvements at just seven intersections could be the key to improving transportation in Rwanda’s capital, Kigali: Shem Oirere reports from East Africa
    Read More
  • OPINION: ITS must be included in EU Green Deal
    September 14, 2022
    To reach the objectives of the European Green Deal, a classification system has been developed to identify environmentally-sustainable activities. However, Richard Lax of Kapsch TrafficCom is worried that it might not have the intended effect – and ITS could lose out as a result…
    Read More
  • Cities get road priorities right
    March 22, 2022
    Cities including Paris, Milan and London have all announced serious expansions to their bicycling infrastructure over the last few years. The era of active travel is here, finds Alan Dron
    Read More
  • Major Scandinavia-Russia motorway inaugurated
    October 13, 2014
    Meridiam, the global investor and asset manager specialising in public and community infrastructure, has announced the inauguration of the E18 Eagle Motorway, connecting Koskenkyla to Kotka in Finland. The 53 kilometre motorway is a key link in a major transportation corridor linking Scandinavia to Russia. The highway will serve as a model European project through the implementation of a comprehensive environmental protection program and contribute to development of both regional tourism and trade between F
    Read More

Highlighted Content