No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveReport Shows Growth In Foreign Investment

Report Shows Growth In Foreign Investment

Costa Rica last year attracted $861 million in foreign direct investment, an 8.4% increase over the $793 million invested in 2004, according to the results of the World Investment Report published by the U.N. Development Programme (UNDP).

According to the recent report, Costa Rica ranks third among Latin American countries in terms of foreign investment per capita. Chile and Panama hold the first and second spots.

The Costa Rican Investment Promotion Agency (CINDE) estimates that 70% of Costa Rica s foreign direct investment in 2005 came from the United States, 5% from Europe, 2.8% from Central America and the rest from other parts of the world.

Of the total $861 million foreign direct investment, 41% was generated by businesses in free-trade zones, 26% from the real estate sector, 21% from other foreign businesses, 6.2% from tourism and 4.8% from financial institutions.

Despite this growth, CINDE president Alberto Trejos recently expressed concern that in the past few years, Costa Rica has decreased its potential to attract investment.

According to Trejos, the main problems foreign companies face when setting up shop here are a lack of infrastructure, an out-of-date telecommunications system and a shortage of qualified workers. He pointed to a lack of training opportunities in English and technology skills.

In terms of infrastructure, the country lacks adequate highways, ports and airports, and companies that wish to operate here must go through numerous unnecessary bureaucratic processes, Trejos said.

He added that Costa Rica s failure to ratify the Central American Free-Trade Agreement with the United States (CAFTA) threatens the growth of foreign investment.

The agreement would open up a profitable export market with the United States, he said.

Costa Rica s Legislative Assembly is still studying CAFTA.

 

Trending Now

Costa Rica Court Moves to Lift President Chaves’ Immunity

Costa Rica’s Supreme Court of Justice on Tuesday asked Congress — for the first time in the history of this country with a well-established...

Obesity in Costa Rica: A Growing Health Crisis After 35 Years of Change

Recent studies claim that about one-third of adults in Costa Rica are considered obese and another third overweight. Which means about two-thirds of adults...

Retired Nicaraguan Army Captain Sentenced to 50 Years for Treason

A retired military officer was sentenced to 50 years in prison in Nicaragua for the crime of "treason against the homeland," his family denounced...

Guatemala Makes History as They Face USA in Gold Cup Semifinal Showdown

Desperate to show progress under Mauricio Pochettino, the United States is looking to secure a return to the CONCACAF Gold Cup final on Wednesday...

2025 Gold Cup: Honduras Advances After Dramatic Shootout, Mexico Ends Goal Drought

Honduras, with a surprising and dramatic penalty shootout victory over Panama, and Mexico, with a lackluster win against Saudi Arabia, advanced Saturday to the...

Costa Rica Introduces New ₡500 Coin: Old One No Longer Valid

Visitors to Costa Rica this month should be aware of an important change to the country’s currency. As of Tuesday, July 1, the old...
Avatar
spot_img
Costa Rica Tours
Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Rocking Chait
Costa Rica Travel

Latest News from Costa Rica