Public-Private Partnerships Needed in Costa Rica

The Costa Rican government currently lacks the ability to solve, by itself, the problem of public infrastructure that has been neglected for many years.

Monday, February 11, 2013

An opinion piece by Carlos Camacho, published in highlights the delay in addressing problems in Costa Rica public infrastructure, a problem that directly affects the country's competitiveness, and gives the example that in the Competitiveness Report by the World Economic Forum 2012-2013, Costa Rica in infrastructure "received a score of 3.8 out of 7, and on the same subject in the overall ranking was ranked 74 out of 144, however, in the category of ‘Road Quality', Costa Rica was ranked 131 out of 144, and in 'Port Infrastructure ', 140 out of 144. Infrastructure is the second most problematic factor for doing business in the country, just ahead of the problem of state bureaucracy. "

"... It does not take an expert to notice that the government can not meet the current needs of the national road system, the proof is temporary bridges that end up being quasi-permanent on our roadways."

"... This neglect in Costa Rica, is linked to a lack of budget and lack of a clear agenda."

"... PPP’s are the most viable solution to the great need to improve Costa Rica’s infrastructure and to maintain the country as an attractive place for investment. Though the current model of alliances is not the best, with the help of public and private sectors it would be possible to create a list of urgent projects that could be managed via such partnerships. "

More on this topic

El Salvador: PPP Feasibility Analyzed

March 2019

The feasibility study for the creation of a PPP will be carried out in the project for the extension of the 43-kilometer stretch between the La Hachadura Border Crossing and the CA12 Road.

From the Fomilenio II statement:

March 7, 2019. The Fondo del Milenio II (FOMILENIO II) and the consortium Unión de Personas Corredor Pacífico (UDP Corredor Pacífico) signed on this day the contract to carry out technical-economic pre-feasibility studies for a possible Public-Private Partnership (PPP) project between La Hachadura Border Crossing and CA12 Highway (Kilo 5). The investment for these pre-feasibility studies will be US$1.5 million. The PPP project seeks to finance, build and maintain the expansion of a 43-kilometer stretch of road.

Secrets of Successful Public-Private Partnerships

July 2012

In Costa Rica there is no good track record in this matter, but with reviewed rules and better preliminary studies, they still may be the solution to the country's infrastructure problems.

The latest episode was the crater which suddenly opened up on the country’s main highway.

Guatemala Seeks International Investors

November 2011

The Guatemalan government is committed to public-private partnerships that encourage investment in infrastructure.

Airports, ports and national highways could be built with input from the private sector through the creation of the new Council for the Promotion of Public-Private Partnerships, which aims to stimulate infrastructure projects crucial for the economic development of the country.

Panama: New Strategic Partnership Includes US$400 Million in Loans

September 2010

The World Bank's Board of Directors analyzed the new Country Partnership Strategy (CPS) for Panama centered on creating opportunities for all Panamanians.

The new strategy corresponds to the 2011-2014 period and contemplates flexible loans for a total sum that will depend on the government's specific demands, as well as a series of consultancy and analysis services that will be defined jointly with authorities.

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