QCOSTARICA — The dollar exchange keeps dropping, dropping, and dropping, to the lowest figure in the last ten years. Are you surprised? Experts explain the five reasons why it has fallen so much.
Among the reasons why this is happening:
- The interest rate paid on savings is very high.
- There is an abundance of dollars in the exchange market and at the same time high international monetary reserves that closed this week at US$14 billion
- There are many term deposits in colones in the process of maturation.
- International Interest rates continue to be high, but in Costa Rica, they continue to be lower, more attractive to investors.
- The arrival of tourists is greater than expected, as well as more exports and foreign direct investment, mainly in construction in Guanacaste and the Central Pacific.
The low price benefits some sectors and harms others, explained financial analyst, Daniel Suchar. For example, the purchase of durable goods in dollars, such as automobiles, since their price has decreased in terms of colones.
Read more: Costa Rica’s stash of international reserves is off the charts!
In addition, importing companies can benefit from lower prices on imported consumer goods in dollars.
The official dollar exchange by the Central Bank (Banco Central de Costa Rica) today is ¢512.54 for the buy and ¢519.39 for the sell.
At the local banks (private and state), the buy exchange rate ranges between ¢506 and ¢510, and for the sell ¢522 and ¢528. Click here for the exchange rate by the banks reported to the Central Bank.
How has the low exchange rate affected you? Post your comments on our official Facebook page or send an email.