No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveDespite Continued Growth, C.R. Economy Is Slowing

Despite Continued Growth, C.R. Economy Is Slowing

Despite strong growth during the first four months of the year, the Costa Rican economy is slowing down, according to the Central Bank.

The economy grew 5.9 percent during the first four months, down from 7 percent during the same period in 2007.

The Central Bank’s monthly report on the economy indicates that despite an economic downturn internationally, “domestic economic activity continues to display a robust growth profile.”

The document cites the construction industry, which grew 19.9 percent, as a major source of growth. The service sector grew 6.9 percent as a result of strong growth in telecommunications and finance.

Manufacturing grew by 4.4 percent. Agriculture contracted by 2.9 percent, however. Growth in pineapple, milk and other non-traditional crops failed to compensate for decreased sales of melons, bananas and sugarcane.

The country’s trade deficit widened substantially compared to recent years. The trade imbalance reached $2.27 billion during the first four months, substantially higher than the deficits of $1.10 billion and $985 million reported during the same period in 2007 and 2006, respectively.

In terms of the fiscal situation, the Finance Ministry reported last week that the government registered a $230 million – 0.8 percent of gross domestic product – financial surplus during the first half of the year.

The National Tourism Chamber reported last week that the number of tourists grew 12 percent during the first half of the year compared to the same period last year, with more than 1 million foreign tourists visiting the country.

Consumer price inflation was 6.5 percent during the first six months, nearly 2 percentage points higher than during the same period last year, according to the National Statistics and Census Institute.

In 2007, the Costa Rican economy grew 7.1 percent, down from 8.6 percent in 2006.

 

Trending Now

Hondurans March to Mark 2009 Coup as Election Battle Heats Up

Thousands of government supporters marched Saturday in the capital of Honduras to commemorate the anniversary of the 2009 coup that ousted then-leftist President Manuel...

An Expat’s Take: 5 Burning Questions About Life in Costa Rica Right Now

Have you been keeping up with the various events taking place in Costa Rica? There is always something interesting going down, and here are...

Costa Rica Green Hotels Lead Global Sustainable Tourism

Costa Rica’s reputation as a leader in sustainable tourism grows stronger every year, with our green hotels setting a high bar for eco-conscious hospitality...

Costa Rica’s Pride March 2025 Defies Restrictions and Celebrates Diversity

A large crowd gathered in Paseo Colón, San José, to participate in the LGBTIQ+ Pride March 2025. It began at noon, as people marched...

Climate Change in Costa Rica Devastates Coffee Farms in Los Santos

In Costa Rica’s Los Santos region, famous for producing nearly half the country’s coffee, farmers are reeling from heavy losses driven by wild weather....

Costa Rica to Launch Electric Air Taxis for Sustainable Travel in Guanacaste

Costa Rica is poised to revolutionize its transportation landscape with the introduction of electric air taxis, offering a sustainable alternative to traditional ground travel...
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