After last week in Costa Rica the rate rose to 6.65%, a level that had not been recorded since August 2015, on July 10 abruptly decreased to 6%.
Data published by the Central Bank of Costa Rica on Wednesday afternoon, July 10, show that the Basic Passive Rate (PBS) decreased by 0.65%, and will remain at 6% until next July 17.
The basic passive rate is an average of the collection rates in colones of financial institutions with terms of 150 to 210 days.
Because savers in Costa Rica have moved their resources to longer terms, to avoid an increase in income tax, the Basic Passive Rate rose to 6.65%, a level not recorded since August 2015.
According to data published by the Central Bank of Costa Rica on Wednesday afternoon, July 3, the Basic Passive Rate (BPR) reports levels not reached since August 26, 2015, and will remain at 6.65% until next July 10.
In Costa Rica, the government's strong need for financing and the Central Bank's exchange rate interventions have been putting pressure on the local financial market, pushing up passive rates in Colones.
The decrease in liquidity in Colones generated by the pressure exerted by the government and the Central Bank in the local market is the main reason behind the upward trend in passive rates in local currency.
Because of the adjustments made by the Central Bank to interest rates in recent days, financial institutions in Costa Rica will be forced to raise interest rates on savings in local currency.
Arguing that forecasts suggest that inflation in 2019 could be above the upper limit of the target range, on November 1st the Central Bank of Costa Rica (BCCR) decided to raise the monetary policy rate from 5% to 5.25%.
The Passive Base Rate has fallen to 4.35%, while the effective tax rate in Dollars dropped from 2.08% to 1.96%.
The Central Bank of Costa Rica (BCCR) released on Wednesday afternoon on December 7, news that the passive base rate reached a record low of 4.35%, very close to 4.25%, the lowest level reached by the base rate since records began in 2008.
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The passive base rate fell back down to 4.55%, while the effective rate in dollars went down from 2.11% to 2.08%.
The Central Bank of Costa Rica issued on Wednesday afternoon, November 30, news that the passive base rate dropped to the same level it was at two weeks ago, meaning that the rate will remain at 4.55% until Wednesday 7 December.
The passive base rate rose from 4.50% to 4.60%, while the effective rate in dollars rose from 1.93% to 2.11%.
BancoCentral deCosta Ricareleased news on Wednesday afternoon on November 23 that the passive base rate rose by 0.10%, meaning that the rate will remain at 4.60% until Wednesday November 30.
The basic passive rate rose from 4.50% to 4.55%, while the effective tax rate in dollars dropped from 2.03% to 2.00%.
The Central Bank of Costa Rica (BCCR) released on Wednesday afternoon on November 9 news that the passive base rate rose by 0.05%, meaning that it will stand at 4.55% until at least Wednesday, November 16.
The passive base rate has gone down again, reaching a record low value of 4.50%, while the effective tax rate in dollars rose from 2.02% to 2.03%.
The Central Bank of Costa Rica (BCCR) released on Wednesday afternoon on November 2 news that passive base rate will stand at 4.50% at least until Wednesday November 9. This is the rates second lowest value since 2008.
After five weeks of downward movements, the passive base rate rose from 4.55% to 4.65%, while the effective tax rate in dollars dropped from 2.05% to 2.02%.
The Central Bank of Costa Rica (BCCR) released on Wednesday afternoon on October 26, news that passive base rate will stand at 4.65% until at least Wednesday November 2, after 5 weeks of having gone down, it increased by 0.10 %.
The passive base rate in colones has gone down again, reaching the record low value of 4.60%, meanwhile the effective tax rate in dollars dropped from 2.05% to 1.94%.
The Central Bank of Costa Rica (BCCR) released on Wednesday afternoon on October 12 news that passive base rate will stand at 4.60% until Wednesday October 19, a new low not seen since 2008.
The passive base rate in colones has fallen once again, reaching the record low value of 4.65%, while the effective tax rate in dollars rose from 2.01% to 2.05%.
The Central Bank of Costa Rica (BCCR) released on Wednesday afternoon on Oct. 5 news that the passive base rate will stand at 4.65%, until Wednesday October 12, the lowest value for this rate since 2008.
The passive base rate in colones still stands at 4.7%, the lowest value since 2008, while the effective tax rate in dollars rose from 1.91% to 2.01%.
The Central Bank of Costa Rica (BCCR) released late on Wednesday September 28, news that the passive base rate will stand at 4.70%, until Wednesday October 5. This is its lowest value so far this year.
The passive base rate in colones fell from 4.80% to a record low of 4.70%, while the effective tax rate in dollars dropped from 1.98% to 1.91%.
The Central Bank of Costa Rica (BCCR) released late on Wednesday September 21, news that the passive base rate will stand at 4.70%, until Wednesday September 28. This is its lowest value so far this year.
The passive base rate in colones fell from 4.90% to 4.75%, while the effective tax rate in dollars rose from 2.04% to 2.08%, where it will remain until September 14.
The Central Bank of Costa Rica (BCCR) released late on Wednesday September 7, news that the passive base rate will stand at 4.75%, until Wednesday September 14. This is its lowest value so far this year.