During the 1980s, more than 20,000 Salvadorans fleeing the violence of the Salvadoran Civil War entered the neighboring country of Nicaragua. Their flight was part of a larger multidirectional migration out of El Salvador in which Salvadorans sought refuge across Central and North America. In response to this unprecedented influx of Salvadoran refugee men, women, and children, the Nicaraguan government—newly under the control of the revolutionary Sandinista National Liberation Front (FSLN)—declared that all refugees would be permitted “the opportunity to survive and produce.” This article argues that the timing of the refugees’ arrival proved mutually beneficial for both the Salvadorans and the FSLN by illustrating how Sandinista officials sought to further agrarian reform projects via refugee integration into agricultural cooperatives. As such, Nicaraguan refugee policy functioned as an integral part of Sandinista statecraft. Through an analysis of refugee-produced sources, government and UNHCR documents, and news reports, this article sheds new light on the entwined histories of Salvadoran refugees and the Sandinista state in the transnational context of the late Cold War period in Central America.