Monetary Reserves Reach $3.1 Billion

Costa Rica ended 2006 with a record $3.1 billion in international monetary reserves, 34% more than the $2.3 billion recorded in 2005, according to statistics published recently on the Central Bank’s Web site.

Central Bank economic director Jorge Madrigal told the weekly El Financiero these figures are indicative of the country’s  economic stability. Added to the dollar reserves held by commercial banks, Costa Rica’s reserves reached $3.8 billion, $966 million more than in 2005, showing that banks have gained a more solid standing, he added.

An increase in foreign direct investment to $1.4 billion last year, as well as income from tourism and a new exchange-rate system based on fluctuating mini-devaluations, have helped build up international monetary reserves,Madrigal said.