Boaco is the capital city and a municipality of the Boaco Department of Nicaragua. The municipality of Boaco has a population of 63,422 an…Boaco is the capital city and a municipality of the Boaco Department of Nicaragua. The municipality of Boaco has a population of 63,422 and an area of 1,087 km while the department is 4,177 km2. The city of Boaco, with a population of 26,209, is located in the mountains 88 km. east of Managua. Boaco is called "Ciudad de Dos Pisos", nicknamed by Dr. Armando Incer Barquero. The city's only two flat places are El Parque and the baseball field.