Nicaragua is a country in Central America. It is officially called the Republic of Nicaragua (Spanish: República de Nicaragua). It has a size of 129,494 square kilometres. It is the largest country in Central America. It borders Honduras to the north and Costa Rica to the south. The capital of the country is Managua. Managua is the third-largest city in Central America. It is also the biggest city of Nicaragua. Almost a quarter of the population lives in the capital city.