China buys more Costa Rican debt

February 13, 2009

China recently bought $150 million in Costa Rican bonds, making good on a promise that enticed Costa Rica to cut diplomatic ties with Taiwan in 2007.

In exchange for diplomatic recognition, China pledged to buy $300 million in Costa Rican bonds, to be repaid over 12 years at 2 percent interest. China purchased the first $150 million in January 2008. By borrowing at such a low interest rate, Costa Rica saves ¢50 billion ($90.9 million) over 12 years, according to Finance Minister Guillermo Zúñiga.

Last year, when the Supreme Court forced Zúñiga to make the bonds purchase public against China´s wishes, Zúñiga suggested that China might not make the second purchase.

Facebook Comments

You may be interested

Pic of the Day: Costa Rica’s Isla Nublar (aka Cocos Island)
Pic of the Day
81 views
Pic of the Day
81 views

Pic of the Day: Costa Rica’s Isla Nublar (aka Cocos Island)

Alejandro Zúñiga - April 18, 2019

Isla Nublar, the setting for much of the "Jurassic Park" series, is unfortunately not a real Costa Rican island. Cocos…

Costa Rica holds Maduro regime responsible for diplomat’s safety
Costa Rica
12 views
Costa Rica
12 views

Costa Rica holds Maduro regime responsible for diplomat’s safety

AFP and The Tico Times - April 18, 2019

The Costa Rican Foreign Ministry said on Wednesday that it places responsibility with the Venezuelan government of Nicolás Maduro for…

Venezuela withdraws diplomatic credential from Costa Rican diplomat
Latin America
28 views
Latin America
28 views

Venezuela withdraws diplomatic credential from Costa Rican diplomat

AFP and The Tico Times - April 17, 2019

Venezuela withdrew the diplomatic credential from the Costa Rican chargé d'affaires on Tuesday in retaliation for the country’s acceptance of…

Do NOT follow this link or you will be banned from the site!