Chinandega is a department in Nicaragua, located on the border with Honduras. It covers an area of 4,822.42 km² and has a population of 429,557 (2015 estimate). The capital is the city of Chinandega.Largely agricultural, it produces rum from sugar cane; other products are bananas, peanuts, shrimp and salt.Municipalities Chichigalpa Chinandega Corinto El Realejo El Viejo Posoltega Puerto Morazán San Francisco del Norte San Juan de Cinco Pinos San Pedro del Norte Santo Tomás del Norte Somotillo Villanueva