Limiting the fees charged in Costa Rica and establishing a law that defines market limits in Guatemala are part of the attempts being made in the region to regulate the use of credit cards.
A law proposal presented last January before the Legislative Assembly of Costa Rica, aims to regulate the percentage of the commission paid by businesses for credit or debit cards.
In an unstable exchange market, lack of transparency in the rules on intervention by the Central Bank of Costa Rica increases uncertainty and drives investors towards the safest currency.
EDITORIAL
The rise in the price of the dollar in Costa Rica is a negative factor for some sectors and positive for others, but generally negative for the economy, because it distorts companies' plans, diminishing their competitiveness, and because it increases market players' willingness to speculate.
The change in methodology implemented by the Central Bank of Costa Rica in the National Accounts System sheds light on problems that cause lack of competitiveness, tax injustice and social inequity.
EDITORIAL
An editorial in Nacion.com draws conclusions on the need to adapt the measurement of GDP in Costa Rica, to the changes taking place in the economy at the end of last century and what has elapsed so far in the present one.
Considering the main internal and external variables stable, the Bank of Guatemala is keeping the leading policy rate, a major reference for interest rates in the country, unchanged.
From a statement issued by the Bank of Guatemala:
The Monetary Board, based on a comprehensive analysis of the external and internal situation, after having been made aware of the Balance Inflation Risks, has decided to keep the rate of the main monetary policy interest at 4.50% .
The Bank of Guatemala has lowered the leading policy rate, the reference for interest rates in the domestic financial system, from 5% to 4.75%.
The Monetary Board decided to lower the leading policy rate by 0.25 percentage points based on the external and internal economy, seeing a recovery in global economic activity.
From a press release issued by the Bank of Guatemala:
Appreciation of the quetzal against the dollar has affected the income of exporters who are asking the monetary authority to stop overvaluation of the local currency.
The President of the Guatemalan Association of Exporters (Agexport) reported that the strength of the quetzal is causing products in the country to be more expensive and therefore a change in monetary policy is needed.
The Central Bank of Costa Rica wishes to purchase Microsoft products such as licenses, maintenance and services, on an on demand basis for a period of four years.
"The Procurement Department at Banco Central de Costa Rica (BCCR) will receive bids until 10:00 hours on April 3, 2014, according to the clock in the Procurement Department for the purchase of Microsoft products: licenses, maintenance and services, delivery mode on demand, for a period of four (4) years, for the BCCR and fully decentralized bodies (ODM by their initials in Spanish) ".
The Bank of Guatemala is maintaining at 5% the leading policy rate, the reference for interest rates in the domestic financial system.
The Monetary Board has decided to keep the leading monetary policy interest rate at 5%, based on a comprehensive analysis of the external and domestic economic situations.
From a press release issued by the Bank of Guatemala:
It has been announced that from March Costa Rican banks will be able to allow their customers access to the Central Interconnected System of Payments.
From a press release by the Central Bank of Costa Rica:
A new service has been developed called 'Pagos al Exterior (PEX)' (Foreign Payments), which will allow individuals and legal persons resident in the country, to send and receive transfers of funds to and from accounts in a financial institution located in El Salvador, Guatemala, Honduras, Nicaragua and the Dominican Republic. The aim of the service is to provide a fast and secure technology platform for processing commercial payments and remittances in the region.
With the increase in exchange rate participation going from 0.65% to 0.70% the central bank will have more flexibility to intervene in the market.
The amendment means that the range within which the Central Bank of Guatemala may intervene by buying or selling dollars in the foreign exchange market will be larger, allowing for greater exchange rate volatility.
The Monetary Board has decided to keep the monetary policy leading interest rate at 5.00%, based on a comprehensive analysis of the external and internal situation.
A statement from the Bank of Guatemala:
The Monetary Board, at its meeting held today, decided to keep the monetary policy leading interest rate at 5.00%, based on a comprehensive analysis of the external and internal situation, having reviewed the Balance of Inflation Risks.
The Monetary Board, at its meeting on October 30, decided to reduce the level of the leading interest monetary policy rate from 5.25% to 5%.
From a press release issued by the Bank of Guatemala (Banguat):
The Monetary Board, at its meeting today, decided to reduce the level of the leading monetary policy interest rate by 25 base points from 5.25% to 5.00%, based on a comprehensive analysis of the external and internal environment, after reviewing the inflation risks balance.
The Monetary Board of the Bank of Guatemala, at its meeting on September 25, decided to keep the Leader rate at 5.25%.
From a press release issued by the Bank of Guatemala (Banguat):
The Monetary Board, at its meeting today, decided to maintain at 5.25% the monetary policy leader interest rate, based on a comprehensive analysis of the external and internal situation, after being made aware of the Inflation Risk Balance .
The Monetary Board, at its meeting on July 31, decided to keep the level of the monetary policy leading interest rate at 5.25%.
From a press release by the Bank of Guatemala:
The Monetary Board in its meeting today decided to keep the level of the monetary policy leading interest rate at 5.25%, based on comprehensive analysis of the external and internal situation, after finding out about the Balance Inflation Risks.
A study of the evolution of interest rates in El Salvador over 37 years concludes that dollarization confirms the theory of parity between domestic and international interest rates .
From the concluding remarks of the study entitled "El Salvador: Determinants of interest rates" by Alirio Alfonso Fernandez:
"An Interest rate represents the price of money and is an indicator which takes into consideration economic agents when making decisions on consumption, investment and savings, variables which influence economic growth and inflation.