Debt Market: Plans in Costa Rica

In addition to the $1,750 million that the government is seeking to obtain through the loan it is negotiating with the IMF, during the four years between 2022 and 2025 the country plans to place $4,000 million in foreign debt bonds.

Monday, March 1, 2021

Currently, the Assembly is discussing the loan file requested to the International Monetary Fund (IMF), which amounts to $1,750 million that will be used to mitigate the fiscal impact caused by the economic crisis resulting from the outbreak of covid-19.

In addition to this multi-million-dollar amount, the government plans to place $4 billion of foreign debt in the international market. According to the authorities of the Ministry of Finance, it is expected that between 2022 and 2025, $1 billion will be allocated each year.

Elian Villegas, head of the Ministry of Finance, told that with the $4 billion, "... the intention is to contemplate the financing plan for the next years, which among other things includes the eventual funds that the country will receive from the $1.75 billion loan with the IMF."

The article adds that "... for this 2021, the government has financing needs that reach 13.5% of the Gross Domestic Product. Until the end of February, it was estimated that about 10.7% remains to be financed."

Check out the "System for monitoring markets and economic situation in the countries of Central America", prepared by CentralAmericaData.

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