After meeting with taxi unions, Presidency Minister Sergio Alfaro said Uber, valued at $50 billion, has a “strong negative social impact” on Costa Rica.
A Costa Rica Uber driver was reportedly threatened by taxi drivers on Saturday. The government, which says Uber is illegal here, condemned the violence.
“We’re not in the business of censoring the Internet,” Science and Technology Minister Mauricio Jenkins told reporters after the government refused to block Uber in Costa Rica.
Uber said it plans to hire 300 people and invest $3.5 million in Costa Rica by the end of 2016. But the government received the news with a cold shoulder.
The van service for groups of between seven and 14 is aimed at capturing families and larger groups of tourists looking to take day trips from San José.
Taxi fares in Costa Rica will drop 3 to 20 percent following new guidelines from the Public Services Regulatory Authority, despite opposition from drivers.
Taxi drivers blocked a central street in Montevideo on Friday to prevent ride-sharing service Uber from training new drivers as it seeks to roll out service in Uruguay.