This information comes from the assessment conducted in country for the Costa Rica report, which was published in January 2005.
Costa Rica has a rich heritage of stable, democratic institutions, along with a modern ethos of investor friendliness. Its legal framework in most areas (with some notable exceptions) is adequate, and the country sets an important example for the region in trade promotion and support of competition among businesses.
Simultaneously, expensive, state-run monopolies undercut advances toward genuine competitiveness. Exaggerated concerns over procedures undermine the effectiveness of otherwise viable institutions. Furthermore, most companies are run with an absence of transparency, the very practice of which would increase their attractiveness to potential investors. A new resolve to release certain legal constraints and engage in meaningful reform of vital institutions would allow Costa Rica to rise to the next level of economic freedom and development.
