No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeNewsCosta RicaPoverty rate rises in Costa Rica to highest level in decades

Poverty rate rises in Costa Rica to highest level in decades

Poverty in Costa Rica reached 26.2% of households, the highest level in almost three decades, amid the impact of the Covid-19 pandemic, the official statistical agency reported Thursday.

The poverty index has risen 5.2 percentage points from last year, according to the National Household Survey, carried out in July by the National Institute of Statistics and Census (INEC).

Extreme poverty, meanwhile, reached 7% of households, an increase of 1.2 percentage points since 2019, according to INEC data.

The last time that Costa Rica registered such a high level of poverty was in 1992, when it reached 29.4%.

The statistical agency defines as poor a family whose income is equal to or less than the cost of the basic food basket, calculated at about $80 per person per month. The canasta básica is an established list of staple foods and some non-food necessities considered the minimum required for a family’s survival.

The number of households in this condition grew especially in urban areas, where it stood at 26.4%, compared to 25.5% in rural areas.

The increase in poverty coincides with a sharp increase in unemployment since the start of the pandemic. Unemployment went from 12.3% before March — when the first cases of Covid-19 were detected — to 23.2% in the June to August quarter.

The government created the “Plan Proteger,” which allocates financing to assist families affected by the containment measures of the health emergency.

The INEC household survey also estimated that inequality in income distribution remained at levels similar to those of 2019, with a Gini coefficient of 0.519 on a scale of 0 to 1, where the highest number corresponds to the total inequality.

Trending Now

Joao Fonseca Pulls Out of 2026 US Open With Abdominal Injury

Brazilian tennis star Joao Fonseca has withdrawn from the 2026 US Open after failing to recover from an abdominal injury suffered during the Cincinnati...

U.S. President Trump Announces Major Venezuela Oil Deal

President Donald Trump announced a sweeping oil agreement with Venezuela that he says will expand U.S. reserves, attract billions in private investment and eventually lower gasoline prices.

Costa Rica’s Drug Violence Draws Wall Street Journal Alarm as Homicides Fall

The Wall Street Journal published a report Thursday arguing that Costa Rica's rise in drug killings has fractured the political system, setting President Laura...

Costa Rica’s OIJ Invests in Israeli Technology to Unlock Seized Phones

Costa Rica’s Judicial Investigation Agency (OIJ) is investing heavily in technology capable of unlocking and getting information from cellphones seized during criminal investigations, as...

Partial Lunar Eclipse Will Be Visible Across Costa Rica Tonight

Anyone in Costa Rica will have the chance to watch a dramatic lunar spectacle tonight, as a deep partial lunar eclipse will be visible...

Costa Rica Moves Toward Satellite Cell Coverage With Starlink

Costa Rica is getting its first taste of satellite connected cell phones, and both of the biggest telecom operators are behind it. Liberty and...

Costa Rica Delays Yellow Fever Vaccine Rules Until October

Costa Rica has delayed new yellow fever vaccination rules for travelers to eight countries, giving you another month to get vaccinated before the requirements...

Google Wins Auction for Spirit Airlines’ Massive Data Archive, Raising Privacy Alarms

For all us fun that have flown Spirit to Costa Rica, it was announced that Spirit Airlines has agreed to sell a sprawling trove...

The Lifeguards Who Transformed Playa Dominical in Costa Rica

Playa Dominical has a well earned reputation as one of Costa Rica’s premier surfing spots. Its powerful and consistent beach break draws riders from...
🌴 The Weekly Pura Vida

Costa Rica, Once a Week

The week's top stories, weather & insider tips — delivered every Sunday. One email, zero clutter.

🔒 Free. No spam. Unsubscribe anytime.

Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Car Rentals
Costa Rica Travel Insurance
Costa Rica Travel