Restoring Sovereignty and Human Rights in Nicaragua Act of 2026

This legislation reauthorizes the Nicaraguan Investment Conditionality Act of 2018 until 2030 and amends the Reinforcing Nicaragua's Adherence to Conditions for Electoral Reform Act of 2021. It enhances sanctions by targeting additional sectors of the Nicaraguan economy, such as the gold sector , that generate revenue for the Ortega family. The bill also expands the criteria for imposing targeted sanctions to include abuses against the Catholic Church , the prosecution of political prisoners , and support for Russia's invasion of Ukraine. Furthermore, it mandates a diplomatic strategy to restrict loans and financial assistance from the Central American Bank for Economic Integration (CABEI) to the Government of Nicaragua. The bill outlines a U.S. policy seeking free and fair elections, an end to violence against civilians, and independent investigations into protester killings in Nicaragua. To further this, it requires annual reports assessing Nicaragua's participation in the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR) , including benefits to the Ortega regime and compliance violations. A significant new provision prohibits new United States investment in any sector of Nicaragua's economy, with exceptions for intelligence activities and humanitarian aid, and a presidential waiver for national security. These economic measures will terminate once the President certifies that a resolution to the political crisis, as described, has been reached. To promote human rights and democracy, the Act authorizes grants to private, nonprofit organizations for programs documenting abuses by the Ortega regime. These programs must be administered in consultation with the Nicaraguan opposition. Additionally, the bill directs the U.S. Permanent Representative to the United Nations to advocate for extending the mandate of the Group of Human Rights Experts on Nicaragua and to encourage broader UN action against human rights violations, including condemning the exile of political prisoners and attacks on religious freedom.