Tougher Times Ahead

June 2008 | Ratings Update

President Oscar Arias delivered his mid-term report to congress in May. The Costa Rican leader highlighted the government's economic achievements in recent years (preliminary estimates put real GDP growth at a respectable 6.8% in 2007), but warned that tougher times lie ahead. The government is expected to prioritise three policy objectives going forward: boosting domestic agricultural production (to alleviate rising food and energy-related inflationary pressures), investing in human capital and tackling crime. We are concerned that the government may lose popularity going forward due to rising living costs and the economic impact of a US slowdown (particularly on tourism flows

If you would like to subscribe to Central America Monitor and gain instant access to this article, please click here to subscribe.

If you would like to take a trial to Central America Monitor please click on the trial link below.