While many countries like the U.S. and the E.U. will like to enjoy the 5% grow that Costa Rica had in 2012, for the current president Laura Chinchilla this is not enough. With a planned economic slowdown in 2013 her government plans to implement new measures designed to encourage foreign direct investment (FDI) and a to develop a better fiscal policy for the country.
One of the challenges that the country is experiencing is the reduction in hotel fill rates affecting the tourism and service industries, which could continue to be affected by the milder than usual winter in the U.S. Compounding this problem, there are current plans by Costa Rica Central Bank to manage their currency, which could cause an appreciation of the “Colon” substantially affecting the already weakened tourism industry. In addition to these challenge, the process to start and/or purchase a business in the country is hindered by the excessive and difficult bureaucracy, and the potential hidden liabilities. These and similar challenges must be addressed by the current government during 2013 or the ruling party may see their position challenged during the elections in 2014.