In response to Costa Ricans  voracious appetite for credit in recent months, state banks hiked interest rates by an average 1 to 1.5 percent for loans in colones and 0.5 percent for those in dollars.
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The average interest rate for a construction loan in colones went from 11.3 percent to 12 percent. Meanwhile, the same rate in dollars rose from 9.77 percent to 10.5 percent.
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Interest rates have been at historic lows, spurring rampant spending in various sectors of the economy. The increase is thought to be a move in the direction of fighting inflation.
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The rate hike went into effect as of the end of April.
