Thursday 24 June 2021

Costa Rica Casts Its Net Wider for Investment as Deficit Widens

Q24N via Washington Post (Bloomberg) — Costa Rica is looking to the vast reserves of the United Arab Emirates’s sovereign wealth funds to boost investment in the Central American nation, President Luis Guillermo Solis said, a year after failing to convince the Chinese to buy US$1 billion of its bonds.

Costa Rica Business

The wealth funds, as well as private investors in the UAE, could buy into a series of highway and railroad projects connecting the Caribbean to Pacific coasts and in the production of high-tech medical devices, as well as tourist facilities, Solis said in a telephone interview interview.

- Advertisement -

Talks over a US$1 billion bond sale to China stalled early last year, forcing the Central American nation to cast its net for foreign investment wider as it looks to drive growth, while curbing a burgeoning budget deficit. The Abu Dhabi Investment Authority manages almost US$800 billion, according to the Sovereign Wealth Fund Institute, about 14 times as much as Costa Rica’s gross domestic product.

“The democracy in Costa Rica, the strong adherence to the rule of law in a country that is pretty secure, all of this means that we have a very adequate environment to come and develop,” Solis said in a telephone interview. “We are ready for business.”

Costa Rica and the UAE signed an accord Monday to ease visa requirements for both nations, with Costa Rica opening a trade mission in Dubai and an embassy in Abu Dhabi in the coming months to help foster trade that Solis said is growing 25 percent a year.

The Central Bank forecasts economic growth of 4.1 percent this year and next lead by banking and the service industries. Foreign direct investment is growing at a pace of 9 percent a year, Solis said. The nation received a record 2.9 million tourists in 2016.

- Advertisement -

Still, unemployment rose in the third quarter last year to 9.7 percent and the government’s budget deficit is forecast to widen to 5.9 percent of GDP this year as it struggles to get Congress to raise taxes.

Article by originally appeared on

- Advertisement -

We strive for accuracy in its reports. But if you see something that doesn’t look right, send us an email. The Q reviews and updates its content regularly to ensure it’s accuracy.

Q24N is an aggregator of news for Latin America. Reports from Mexico to the tip of Chile and Caribbean are sourced for our readers to find all their Latin America news in one place.

Related Articles

We Haven’t Hit Bottom Yet

Jobs are in short supply in Costa Rica as a result...

Price of the dollar continues to rise, already hits ¢600 at banks

The price of the dollar exchange continues to rise and the...


Carlos Alvarado: “Don Rodolfo has my confidence”

QCOSTARICA - President Carlos Alvarado said he has all the confidence in his Minister of Public Works and Transport (MOPT, Rodolfo Méndez Mata, and...

Flight paralysis from Canada hits Costa Rica’s tourism

QCOSTARICA - The paralysis of flights from Canada last January hit Costa Rica's tourism sector, as Canada was the second source market for tourists...

Today’s Vehicle Restriction June 18: 9 & 0 CANNOT circulate

Today, Friday, June 18, vehicles with plates ending 9 & 0 CANNOT circulate The measure is countrywide and applied between 5:00 am and 9:00 pm,...

Internet speed decreases during peaks in service

QCOSTARICA - Ever wonder why your surfing on the Internet slows down, to even a crawl, mainly in the evenings? This is due to...

Nathalie Álvarez Mesén’s feature debut, Clara Sola, ready for the Cannes Directors’ Fortnight

Q ENTERTAINMENT (CINEUROPA) Nathalie Álvarez Mesén’s debut feature, Clara Sola, is ready to take part in this year’s Directors’ Fortnight at the Cannes Film...

American woman found lifeless in hotel bathroom in Sabana

QCOSTARICA - A sad discovery occurred this Thursday morning in a hotel located in La Sabana, in San José, the lifeless body of a...

Vaccination commission endorses J & J vaccine, says no to Sinovac

QCOSTARICA - The Comisión Nacional de Vacunación y Epidemiología (CNVE)  - National Vaccination and Epidemiology Commission - endorsed the use of Johnson and Johnson...

Week immersed in passage of tropical wave, June Solstice and Veranillo

QCOSTARICA - Today, Monday, June 21, is the day of the year when the sun stays the longest on the horizon, therefore it is...

Since 2018 MECO has received contracts from the State for more than ¢139 billion

QCOSTARICA - Almost ¢140 billion colones (US$227 million dollars) is the amount the MECO construction company was able to snare for public works contracts...


Get our daily newsletter with the latest posts directly in your mailbox. Click on the subscribe and fill out the form. It's that simple!

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.