Costa Rica has one of the strongest eco-friendly economies and for many people around the world it is the most beautiful country in all of Central America. There are many factors that have contributed to help the country get to this point, beginning with a few wise past leader's visions. As part of their vision, these past leaders had the foresight to eliminate the armed forces in 1948 which in turn freed up a large amount of funds to be invested in eco preservation, education, social services, commerce and infrastructure
The end result is that today, Costa Rica has a high literacy rate of around 97%, a highly-skilled workforce, thirty per cent of the country is in eco-preservation. Costa Rica has a very competitive telecommunications infrastructure and a very stable political environment , which all makes for an attractive destination for foreign investment.
Costa Rica was founded as one of the 'Banana Republics' where everything was dependent on agriculture, namely the production and export of bananas and coffee. This situation has changed greatly over the last 10 to 15 years due to increasing influx of foreign investors, development, and a changing global economy which includes hi-tech, medical, service, agriculture and tourism industries.
The Hi-Tech industry is among the rising industries that have developed within the last 10-15 years. Today there are more than 50 companies employing over 11,000 people with an export value of US$2.120 million in 2005. Intel, one of the most prominent companies in this sector, plans to invest $90 million in 2008 and its total investment to date is about $800 million, so ther is still significant growth in this field. Others in this sector are: design and engineering centers (e.g. orthodontic appliances), telecommunications, and consumer electronics (e.g. Panasonic
The medical industry is one of the lesser known components of the Costa Rican economy. With more than 23 medical companies with established manufacturing plants, it is certainly a growing and powerful sector. Among then are world leaders such as Hospira, Boston Scientific and Coloplast. In regards to hospital CIMA and the Mexico Hospital both rate as world leaders in first class medical services, equal to U.S. hospitals ratings in low cost and high quality dental work.
The service sector is booming with high levels of employment in customer service call centers (e.g. Western Union), back office services (e.g Accounting & Human Resources) and software development companies (e.g. Microsoft, Unisys and Oracle). Costa Rica is a primer location for companies who want to invest in this field because many locals have a relatively high level of educations and can speak English
Costa Rica's early economy was based on agriculture and it still stays close to its roots. Although the overall demand for traditional Costa Rican products like bananas and coffee has declined, these products are still in demand. These crops have evolved to serve high-end niche markets as more consumers are willing to pay a premium for goods produced using sustainable methods and above-average working conditions (i.e. Fair Trade).
New and alternative crops like pineapple, watermelon, ornamental plants & flowers, hearts of palm, papaya and fish (e.g. Tilapia) have gained importance and filled the void left by lower banana and coffee production
The Real Estate business is booming has grown greatly in the past 10 years. Even with the U.S. markets slowing in 2008 it is projected that Costa Rica with it's many natural assets, open space, and diversity will be able to keep growing by adding new markets such as Europe, Canada, China, who are just now finding Costa Rica as a prime Real Estate investment and a more affordable, politically and eco-friendly retirement lifestyle. Just in the last 3 years over $2 Billion of new development funding is in the works, and the majority of it will be eco-development
As Americans now struggle to cope with one of the deepest recessions in half a century, the Costa Rican and International Fractional Ownership markets continue to grow and expand. Leading long term analysts conclude that the fractional ownership programs are now filling a growing need for the new travel and vacation options available in these changing financial times. The fact is most second home and vacation home owners are only using their homes three months of the year, yet are still payingall the yearly taxes, maintenance costs, utility costs, security, mortgages cost and many other bills for the entire year. We at FCI see Costa Rica although not as established as the U.S and Europe in Fractional Ownership to be the best option for the millions of 'baby boomers' in the U.S. now seeking vacation options outside U.S
Last but not least, with more than 2 million tourists arriving in 2007, a 10.6% growth relative to the previous year, it is easy to see the potential in the tourism and vacation ownership industry. As with other sectors of the economy, tourism has also evolved to offer more varied options to reach different target markets. For example, eco-tourism, medical tourism (e.g. plastic surgery and dentistry), and 5 star luxury destinations like the Four Seasons Resort are in vogue and are experiencing major growth.