Foreign Direct Investment decreased from $1.658 million to $1.199 million between the first half of 2017 and the same period in 2018.
According to data from the Central Bank of Costa Rica reported a decrease in the flow of the Foreign Direct Investment (FDI) during the first half of 2018, contrasts with the increase of 52% recorded in the same period last year, given that between the first six months of 2016 and the same period in 2017, the flow went from $1.088 million to $1.658 million.
The multinational has announced investments of $31 million to expand its plant in Cartago and open a new service center in Heredia.
From a press release by the Ministry of Foreign Trade:
With an investment of $31 million, the company Kimberly-Clark (KC) will strengthen its manufacturing operations and services in Costa Rica. The company will invest $27 million in its new plant in Coris, Cartago, plus an additional $ 4 million for a new Shared Service Centre located in Heredia and which will support its business network throughout Latin America.
In 2013 43 foreign high technology companies invested in the country.
From a press release issued by the Costa Rican Coalition for Development Initiatives (CINDE):
Costa Rica ended 2013 with good news in the area of attracting Foreign Direct Investment (FDI) in high technology and light manufacturing. The country became host to 43 new investment projects which generated, along with the companies who set themselves up there, $583 million and 7,123 new jobs in the sectors of services, life sciences and advanced and light manufacturing.
With an investment of $5 million Gualapack Costa Rica has opened a manufacturing and distribution center for flexible packaging for food industry mixtures.
A press release from Costa Rican Coalition for Development Initiatives (CINDE) reads:
Gualapack Costa Rica, member of Grupo Gualapack today officially opened the doors of its modern manufacturing plant and distribution center for flexible packaging for food industry mixtures.
Foreign direct investment in the country rose by 15%, while in the free zones where businesses are exempt from income tax, the growth rate was 53%.
During the first half of 2013 free zones received $360 million while in the same period of 2012 the figure was $235 million, which is an increase of 53%.
According to information from the Central Bank of Costa Rica, "in general, FDI in the first half rose by 15% compared to the same period in 2012 and amounted to $1.335 billion, strengthening its growth after the drop of 2009 " reported Nacion.com.
The English company has officially announced the installation of a center for information technology and software development for the financial industry.
The company did not specify the amount of the investment, but said it intends to hire 300 people.
From a press release from the Presidency of Costa Rica:
This morning over a breakfast with foreign businessmen held in New York by the Costa Rican Coalition for Development Initiatives (CINDE) which included the participation of President Laura Chinchilla and Foreign Trade Minister, Anabel González, the English company Rule Financial Services publicly announced its decision to install in Costa Rica a modern center for information technologies and development of specialized software for the financial industry.
With an investment of $10 million the German company Zollner Elektronik AG is to establish a manufacturing and support services plant.
From a press release by the Ministry of Foreign Trade in Costa Rica (COMEX):
Zollner Elektronik AG, one of 15 world leaders in electronics manufacturing services (EMS) and the number one in Germany, announced today the establishment of its modern manufacturing and technical support services plant in Costa Rica.
Although the country has all the potential for attracting foreign retired people to be residents, the government effort begun three years ago has not had any continuity.
"There has never been a public institution interested in following through on the effort," laments Massimo Manzi, director of Promed.
"The sectors interested in investing in projects to attract retirees argue that to do so, you need the support of organizations such as the Ministry of Finance, (to revive foreign incentives and tax benefits for importing materials) as well as the Ministry of Health, the Costa Rican Institute of Tourism and Ministry of Commerce, so as to promote the image of the country as a potential destination for that segment and attract more foreign investment to the aforementioned niche", reported Eleconomista.net review. However, there are currently no projects focused on attracting retirees.
The causes that have been cited are the gap between supply and demand for skills, electricity tariffs, infrastructure problems, and increased competition among countries for FDI.
During 2012, the sector received $535 million whereas the previous year it received $679 million, reporting a drop of 21%.
Figures from the Central Bank of Costa Rica (BCCR), show that for two consecutive years free zones have received fewer resources, as in 2012 they received $535 million, in 2011 $679 million, and in 2010 the figure was $790 million.
During 2012 companies that set up in the country, together with established multinationals, generated more than $574 million.
A statement from the Costa Rican Coalition for Development of Initiatives (CINDE) reads:
Costa Rica surpasses record for third consecutive year in attracting foreign direct investment from high-tech companies.
Country sets a new record in new investment, new jobs and number of companies in the sectors of Services, Life Sciences, Advanced Manufacturing and Clean Technologies.
As in other Central American countries, Colombian transnationals have markedly increased their participation in various sectors of the Costa Rican economy.
Investments in recent years in Costa Rica by Colombian companies have already reached $3.4 billion in various sectors such as banking, paint, supermarkets, candy, and tourism.
33% of it focuses on production and sale of paint nationwide, they control 15% of Costa Rican bank credit, and besides this, they own a fifth of the large supermarkets, according to Elfinancierocr.com.
Representatives of the China Federation of Cooperatives are visiting Costa Rica in order to explore and promote opportunities for trade and investment between both countries.
From a press release from the Ministry of Foreign Trade in Costa Rica:
San Jose, May 10, 2012. Representatives of the Chinese Federation of Cooperatives, which unites more than 4,000 instances from various sectors, is visiting Costa Rica in order to explore and promote opportunities for trade and investment between both countries and promote joint projects in areas related to economic development . The Chinese delegation is headed by the Vice President of the organization, Yu Peishun.
The governments of Costa Rica and India are negotiating an Economic Cooperation Agreement and an Agreement for the Promotion and Reciprocal Protection of Investments.
A statement by COMEX reads:
Visit to Delhi pays off
- Minister unveils opportunities for trade, investment and cooperation.
- Indian authorities examine proposed agreement for the promotion and reciprocal protection of investments.
Representatives from the government and private enterprise are looking to India for business opportunities and attracting investment.
From a press release from the Costa Rican Ministry of Foreign Trade (Comex):
A delegation led by the Minister of Foreign Trade, Anabel Gonzalez, will visit India next week, along with representatives from the Foreign Trade Promoter (PROCOMER) and the Coalition of Development Initiatives (CINDE).
They are coming to analyze business opportunities in sectors like high technology and clean energy, among others.
Under the free trade agreement with China, a delegation of Chinese businessmen and investors are coming to Costa Rica in search of investment oportunities in various sectors of the economy.
The delegation's agenda includes meetings with representatives of the Costa Rican government, businessmen and tours of the business parks.