No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeMoney Money MoneyCosta Rica moves to free-floating currency

Costa Rica moves to free-floating currency

Costa Rica announced that it would remove the country’s nine-year-old currency band system in favor of a floating exchange against the U.S. dollar, according to a statement from the Central Bank (BCCR) Saturday.

The BCCR had not taken any measures to adjust the value of the colón, Costa Rica’s currency, outside the band since Dec. 12, 2013, arguing that the currency had been in a “de facto” float since then.

On Oct. 17, 2006, the BCCR announced that it would implement the currency band, which established a floor and ceiling price between which the colón could float before the Central Bank would take steps to adjust its value. The band system was implemented as a way to gradually move the country from a fixed exchange to a floating one.

The colón has depreciated roughly 8 percent against the U.S. dollar since February 2014, selling at 543 on Saturday, according to Monex. The BCCR said that Costa Rica had more than $7.3 billion in reserves.

Trending Now

President Chaves Downplays Costa Rica’s Security Crisis Amid Record Homicides

President Rodrigo Chaves brushed off concerns about Costa Rica's surging violence during his Wednesday press conference, insisting the security situation "is not as serious"...

Major Cocaine Seizure in Costa Rica’s South Highlights Ongoing Cartel Fight

Costa Rican police pulled off a big win against drug traffickers this Sunday, seizing over a ton of cocaine hidden in a tourism minibus...

In Costa Rica, Rare White-Lipped Peccaries Still Survive

Today we meet the white-lipped peccary, a large animal that travels in large groups that has disappeared from a large part of its historical...

Fan Violence in Latin American Football Spurs Debate on Security and Culture

Images of a fan jumping from the stands to escape a beating as bottles, rocks and seats fly through the air at a game...

FBI Recordings Reveal Costa Rica Ex-Minister Celso Gamboa’s Drug Ties

Costa Rican authorities continue to hold former security minister Celso Gamboa in custody as U.S. officials push for his extradition on drug charges. Recent...

Costa Rica’s Sibö Chocolate Wins Bronze at Int’l Awards

Chocolate Sibö once again stood out at the International Chocolate Awards, the largest fine chocolate competition based in New York. The Costa Rican brand...
spot_img
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