Costa Rica Real Estate - Economic, Political, and Social Stability

Amidst the political and social turbulence that plaguesWith a $1.9-billion-a-year tourism industry, Costa Rica
many of the Latin America countries, Costa Rica hasstands as the most visited nation in the Central
been able to sidestep that. The economic, political andAmerican region. Most of the tourists come from the
social stability of Costa Rica is one characteristic thatU.S. (54%) which translates into a relatively high
has distinguished it through its entire contemporaryexpenditure per tourist of $1000 per trip. In 2005,
history and as one of its most important strengths, hastourism contributed with 8.1% of the country´s
enabled it to reach great success in luring foreignGNP and represented 13.3% of direct and indirect
investors.employment. Ecotourism is extremely popular with the
Costa Rica's government has been a stablemany tourists visiting the extensive national parks and
democracy since 1949. The country's success wasprotected areas around the country. Costa Rica was
recognized in 1987 when President Arias Sancheza pioneer in this type of tourism and the country is
was awarded the Nobel Peace Prize. The award wasrecognized as one of the few with real ecotourism.
granted for the president's high ethical standards andThe protection of the environment has also become a
the image that he portrayed as a representative oftop priority to Costa Ricans and their government.
the Costa Rican people. The people share in his highSocial Stability
ethics and morals. They are recognized to be amongAs Costa Rica has succeeded in implementing political
the top educated and socially aware people in theand economic stability, many of the country's policies
world.focus on social stability. Economic and political policies
Political Stabilityhave helped to ensure that the basic needs of the
Costa Rica was the first country in the world topeople are being met and the standard of living is
constitutionally abolish its army. Following civil war in thecontinually improving. The Costa Rican people are
1940's, Costa Rica ended rule by armed forces andwell-educated and nearly the whole population is
established a democratic republic. Since 1949, theliterate. The literacy rate in Costa Rica is of 96% (CIA
Costa Rican government has been a stableWorld Factbook, February 2007). Elementary and high
democracy that is governed by a strong, democraticschools are found throughout the country in practically
constitution. Even before the current democracy wasevery community. Universal public education is
established, the Costa Rican government stemmedguaranteed in the Constitution. Primary education is
from a political tradition of rule by the majority. Itsobligatory, and both preschool and high school are free.
government has also been able to work towardsThere are both state and private universities.
pacification and successfully avoid the widespreadAccording to the United Nations Study conducted in
violence that occurs throughout most of Latin America.1980s, Costa Rica's medical system was first in Latin
Costa Rica is one of the most stable governments inAmerica and ranked near the United States and
the region.Canada among the 20 best in the world. There is
Economic Stabilityaccess to clean water and health services and the life
For the past twenty years, Costa Rica has notexpectancy rate is high. The World Health Report
experienced any economic crisis. For a developing(1995) placed Costa Rica third in life expectancy in the
country, that is a great accomplishment. Poverty hasworld. All of Costa Rica's social indicators are among
been reduced from 40 percent of the population tothe best in Latin America.
below 20 percent of the population, which is over a 50All of the achievements that the Costa Rican
percent reduction. The average economic growth rategovernment has made in the past 50 years have led
of the country is approximately 2.5 percent each year.to political, economic, and social stability. It is no reason
Costa Rica has increased their participation in worldwhy Costa Rica Real Estate Investments are
trade as well. Exports rose from 30 percent of theincreasing at an alarming rate each year. According to
GDP in 1980 to 50 percent in 2000. The increase inthe U.S. Embassy's website, over 20,000 private
trade has led to an expansion of the economy andAmerican citizens reside in the country. While property
greatly reduced the economy's vulnerability to financialprices still remain extremely reasonable, the great
crisis. As the Central American Free Tradeattraction to Costa Rica, on all levels, is raising property
Agreement (CAFTA) was implemented, Costa Ricaprices and many investors are enjoying double-digit
was further integrated into the world economy andappreciation annually.
economic stability was further established.