Policy Continuity Ensures Broad Stability

Despite being located in the region with one of the highest non-political murder rates in the world, Costa Rica's political risk profile remains among the most stable in Latin America. Largely on account of strong government institutions and broad policy continuity, Costa Rica scores 72.9 in our short-term political risk ratings, achieving a score of 80.0 in the policy continuity category. Nevertheless, heightened levels of inflation and unemployment mean that Costa Rica scores only 65.0 in the social stability component, although this could well improve as global demand for exports cools in H210.

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