Friday 17 September 2021

ICE Reports 1st. Quarter Loss Of ¢33 Billion Due To Exchange Rate Fluctuations

The loss by the state entity is due to changes in the U.S. dollar and interest payments, like many in Costa Rica that have income in colones and debt payments in dollars

Paying the bills

Latest

Chile reopens borders to visitors ahead of summer tourism season

Q24N - SANTIAGO (Reuters) - Chile announced plans to...

Chile among the 5 countries that are opening up and living with Covid

Q REPORTS - London (CNN) - More than 18...

Why buy a flat in Dubai

Investing and getting a good income is one of...

Today’s Vehicle Restriction September 17: Plates ending in “9 & 0” CANNOT circulate

QCOSTARICA - For today, Friday, September 17, vehicles with...

Italy to bring in vaccine passes for entire workforce

ROME — Italy is to require the country's entire...

Number of minors victims of the pandemic in Costa Rica reaches 19

QCOSTARICA - A baby of one month and 20...

CCSS activates ‘vacunatón’ against covid-19

QCOSTARICA - Starting this Friday, and for 10 days,...
Paying the bills

Share

ICE reports loss due to income in colones and debt in dollars

Q COSTA RICA – Like many in Costa Rica whose income is in colones and debt in U.S. dollars, the state power and light company, the Instituto Costarricense de Electricidad (ICE), has been affected by the exchange rate policies of the Central Bank.

With the rise in the price of the dollar and the consequent payment of interest on its loans, ICE reports an accounting loss of ¢33.4 billion colones (US$58.6 million dollars) n the first quarter of the year.

- Advertisement -

The negative balance almost quadruples that reported ¢6.9 billion loss in the same period of 2016. The interannual increase between the two figures represents a variation of 380%.

The weakest quarterly performance was due to the cost of currency fluctuations (depreciation of the Costa Rica Colon against the American dollar), causing an increase in spending.

For example, in the first quarter of 2016, ICE made a debt payment of ¢5.8 billion, but this year the debt service payment increased to ¢ 24.3 billion (four times more) due to the exchange fluctuations.

On July 31, 2017, the Fitch Ratings issued a rating report on ICE, where it noted the company’s exposure to currency fluctuations due to the structure of its debt, affirming the national scale rating as ‘BB’ in local and foreign currency, with a Stable Outlook.

- Advertisement -
Paying the bills
Ricohttp://www.theqmedia.com
"Rico" is the crazy mind behind the Q media websites, a series of online magazines where everything is Q! In these times of new normal, stay at home. Stay safe. Stay healthy.

Related Articles

Costa Ricans lose hope of a low dollar

QCOSTARICA - In December, Costa Ricans expected the dollar exchange rate...

TSE rules out political party donations in cryptocurrencies

QCOSTARICA - The Tribunal Supremo de Elecciones (TSE) - Supreme Elections...

Subscribe to our stories

To be updated with all the latest news, offers and special announcements.

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.