The Hungarian FEG NGM-81 was a domestic rifle based on the indigenous Hungarian AK74, but built for export. For that reason, it was chambered in , though some variants exist. The Rifle was built between 1981-1990. The original rifles were only offered with a fixed butt and a wooden fore-end, made in the same Hungarian Blonde wood as the SA-85M export rifle. The folding stock version of this rifle was called the NGV-81. Due to Cold War prohibitions against Combloc weapons within the . (except those exempted by treaty), the vast majority of the export NGM-81 rifles went to Europe and Africa. Most versions omit the large PKM style flash hider, opting instead for the standard AK-47 style muzzle nut. The FEG NGM rifle was noteworthy in that it kept the AK-47/Type 56 style of gas block system, with the gas relief holes in the gas tube, not the gas block (as is the case with the AKM and later style rifles). The Gas block itself and the front sight is the AKM style in shape and the rifle takes a Hungarian stamped metal magazine similar but not identical to the Wieger style AK magazine.
The army reform measures were launched with deep cuts in personnel strengths, the abolition of conscription, and disbanding of the militia . The size of the army declined from a peak strength of 97,000 troops to an estimated 15,200 in 1993, accomplished by voluntary discharges and forced retirements. Under the Sandinistas, the army general staff embodied numerous branches and directorates artillery, combat readiness, communications, Frontier Guards, military construction, intelligence, counterintelligence, training, operations, organization and mobilization, personnel, and logistics. Most of these bodies appear to have been retained, although they have been trimmed and reorganized. The Nicaraguan Air Force and Navy were also subordinate to the army general staff.