Costa Rica Government Analytics

Government stability and policy metrics

Government Debt

77.7%

Government debt as percentage of GDP

Corruption Index

55.0

Corruption perception index (higher is better)

Government Payrolls

No data

Number of government employees

Gold Reserves

No data

National gold reserves in tonnes

Corruption Index

Corruption perception index (higher is better)

Additional Insights

Expert analysis of Costa Rica Government trends and investment implications

Market Overview

Costa Rica presents moderate investment risks characterized by a stable political environment and reasonable economic resilience, although fiscal challenges pose potential concerns. Real estate investors should weigh the government's ability to manage public debt against the benefits of a relatively corruption-free regulatory framework.

Key Findings

Data-driven insights

•Costa Rica's debt-to-GDP ratio is projected to be around 70% in 2024, indicating potential fiscal instability and future tax hikes.
•With a Corruption Index score of 55, Costa Rica demonstrates a moderate level of governmental transparency and property rights enforcement.
•The country's gold reserves, accounting for 1.3% of total reserves, offer some buffer against economic volatility.
•The government payroll accounts for approximately 10% of GDP, suggesting a significant tax burden potential.

Market Trends

Historical patterns

•Costa Rica's debt-to-GDP ratio has been increasing steadily since the 1990s, posing a long-term fiscal challenge.
•The Corruption Index has improved marginally over the decades, indicating gradual progress in governance.
•Political stability has been a hallmark of Costa Rica's governance, maintaining peaceful transitions and consistent policy environments.

For Investors

Actionable takeaways

•Investors should consider hedging against potential future tax increases by diversifying holdings beyond Costa Rican real estate.
•The moderate Corruption Index score suggests relative reliability in property rights, encouraging cautious but optimistic investment.
•Monitoring fiscal policies and government debt management strategies is crucial for long-term investment planning.
•Given the stable political climate, Costa Rica can be a viable option for diversification within a broader Latin American investment portfolio.

Market Context

Costa Rica's governance landscape is marked by political stability and moderate transparency, creating a generally favorable environment for real estate investment. However, fiscal challenges and government size require careful consideration.

💡 Insights based on historical data. Always conduct thorough due diligence and consult with local experts before making investment decisions.