An agreement was reached to extend for 90 days more the intervention of Banco Crédito Agrícola de Cartago, while discussion takes place of the plan that would allow its absorption by another banking entity.
The National Council of Supervision of the Financial System decided on May 22 to extend for three more months the intervention of Bancredito, whose status, according to the authorities, continues to be of "financial infeasibility".
A law that is being discussed in the Congress of Costa Rica "would allow associations of activists to decide what individuals will produce, what shops will sell and what consumers are going to eat, with no technical or scientific basis."
From a statement issued by the Costa Rican Chamber of the Food Industry:
Deputies push intervention law that will affect food production
In Costa Rica the Solis administration intends to keep the current pricing scheme for rice, ignoring technical criteria, and without applying any valid economic justification.
EDITORIAL
Although atechnical study commissioned by the Ministry of Economyitself said that the current regulatory pricing scheme does nothing to improve the productivity of rice farmers or to lower final prices, the government of Luis Guillermo Solis insists on maintaining a practice which favors a few, blocks competition on an equal footing and hurts consumers.
In Costa Rica the cost that petroleum and its derivatives represent for the productive activities is an example of the distortions caused by the State in the prices of a vital input for the economy.
From a statement issued by the Chamber of Industries of Costa Rica (ICRC):
The Chamber of Industries of Costa Rica has questioned the increase requested by RECOPE on February 13.
The fall of Colombia's largest trader is a heavy blow to the country's financial system, with possible repercussions for Central America.
An article in Dinero.com examines 23 topics that have arisen from the bankruptcy of Grupo InterBolsa, including "taking resources illegally to possible accounting fraud and money laundering."
The activity of Interbolsa Panama, a Colombian subsidiary company is independent and not linked to the decisive intervention decided on by the Financial Superintendence of Colombia.
According to Reuters, the brokerage firm Bolsa Interbolsa, S.A. is the largest brokerage firm in Colombia, and belongs to the holding company Interbolsa Group, which also has a presence in the United States, Brazil and Panama.
Bank “Banco Popular” will buy 100% of the liabilities of intervened financial cooperative Coopemex, and will put in place a trust to manage its assets.
The announcement was made by Gerardo Porras, General Manager at Banco Popular. He noted that the operation should be completed no later than June 10.
According to Porras, this is the first time in Costa Rica’s history that an intervened financial institution escapes bankruptcy.
The financial Superintendence (Sugef) has intervened Coopemex, a savings and loans cooperative, for hiding losses.
With this decision, 88.000 investors will lose access to their funds at the entity, for at least 90 days.
From Nacion.com: “Sugef stated that Coopemex had an off-balance-sheet loan portfolio, in which delinquent debtors were not reported. This enabled the cooperative to show a delinquency situation better than the real one”.
Faced with an unprecedented global economic crisis, experts discussed the role that the State should take.
Should the state intervene more in economics issues? Should governments take more control of the market?
These are some of the questions that were discussed at a forum organized by the National Foundation for the Development of El Salvador (Funde), whose results were collected by El Diario de Hoy.