Monday 14 June 2021

IMF disbursed US$521.7 million to Costa Rica

Resources correspond to the quick credit approved by the Legislative Assembly, on August 27

(QCOSTARICA) The International Monetary Fund (IMF) disbursed us$521.7 million Costa Rica, this September 15, of the fast loan approved by the Legislative Assembly on August 27.

Ministerio de Hacienda (Ministry of Finance) central offices in downtown San Jose

The Government will use 90% of these resources to exchange external debt for internal debt, and the remaining 10% will be transferred to the Caja Costarricense de Seguro Social (CCSS) as payment of the debt that the Central Government has with the institution.

- Advertisement -

The credit was requested from the IMF by the Government in March, at the beginning of the pandemic, to cover an “urgent need for a balance of payments”. The IMF approved it in April through a Rapid Financing Instrument (IFR) on soft terms, at an annual interest of 1.55%, on a five year note, with quarterly payments starting at 39 months after the disbursement has been made.

The Ministry of Finance estimates that the country would save US$100 million in interest with this loan, compared to obtaining the resources in the local market at a rate of 7.5% per year.

Now, the Government is preparing to begin negotiations with the IMF for a new loan, for US$2.25 billion dollars, but for the medium term and that requires structural reforms on the part of the government, which includes new taxes. The details of the IMF loan are expected Thursday, September 17.

As explained by the Minister of Finance, Elian Villegas, either on September 28 or October 5, they would begin talks with the IMF for the new loan.

- Advertisement -

 

- Advertisement -

FACT CHECK:
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.

Q Costa Rica
Reports by QCR staff

Related Articles

Treasury eliminates tax exemption for online purchases under US$500

QCOSTARICA - As of this week, tax exemptions on-line purchases of...

Moody’s, Fitch and S&P distrust political support for plan with IMF

QCOSTARICA - The international risk rating agencies Moody’s, Fitch Ratings and...

MOST READ

Simple to request certification of vaccines against covid-19 applied in Costa Rica and abroad

QCOSTARICA - The Ministry of Health issued a new guideline on Thursday that establishes the requirements to request the vaccination certificate against covid-19 in...

Planning to travel? You will only be certified as vaccinated if you received doses in Costa Rica

QCOSTARICA - Do you need a certificate of the COVID-19 vaccines applied in Costa Rica?  People who require a certificate that certifies the receipt...

Plate rupture has potential for stronger quakes

QCOSTARICA - The 5.7-magnitude tremor, felt at 5:27 pmon Thursday, occurred in a maritime zone with the potential for stronger earthquakes, explained Ivonne Arroyo,...

On Monday the vehicle restriction will change, again

QCOSTARICA - In times of pandemic, things change constantly, especially when it is necessary to tighten the belt to reduce the contagion of covid-19. The...

The US improves travel alerts for Central America; Not Costa Rica and Nicaragua

QCOSTARICA - The United States has eased travel advisories for most Central American countries, with the exception of Costa Rica and Nicaragua, according to...

Tourism’s path to recovery

QREPORTS - A new travel trends research paper released today by Tripadvisor®, the world's largest travel guidance platform, reveals that vaccine rollouts globally are...

Tourism sector feels in crisis despite increase in international arrivals

QCOSTARICA - Despite the improvement in tourist arrivals reported in May, with more than 72,000 visitors, both the Cámara Nacional de Turismo (Canatur) and...

Today’s Covid News: Contagion rate in Costa Rica remains unchanged in the last week

QCOSTARICA - The contagion rate of covid-19 in Costa Rica in the last week did not change, a fact that is seen for the...

Today’s Vehicle Restriction: June 12, “ODDS”

Today, Saturday, June 12, only ODDS can circulate. The measure is countrywide and applied between 5:00 am and 9:00 pm, save for those under the...

WANT TO STAY UP TO DATE WITH THE LATEST!

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.