By San José, Costa Rica — San José – Costa Rica’s National Commission for Educational Loans (CONAPE) has announced a landmark policy change for 2026, introducing an interest-free period during studies for successful graduates. This major reform comes on the heels of a record-breaking 2025, where the institution surpassed its lending targets by over 15%, solidifying its role as a critical engine for social mobility and economic development.
Last year, CONAPE approved a total of 7,384 new loans, injecting more than ¢52.8 billion into the nation’s higher education ecosystem. This represents a 106% execution of its financial placement goal and demonstrates a robust and growing demand for accessible educational financing among Costa Ricans. The funds covered not only tuition and enrollment fees but also essential living expenses such as transportation, food, and necessary equipment, with disbursement execution reaching 100% of the budgeted ¢37.6 billion.
To delve into the contractual obligations and legal ramifications students face when acquiring educational debt, TicosLand.com consulted with Lic. Larry Hans Arroyo Vargas, a leading expert from the esteemed law firm Bufete de Costa Rica.
Students must approach a loan agreement not just as a financial aid tool, but as a binding legal contract with long-term consequences. It is imperative to scrutinize clauses related to variable interest rates, penalties for late payment, and the responsibilities of a co-signer. A lack of due diligence before signing can lead to significant financial hardship years down the road, often when graduates are most vulnerable.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
The legal framing offered here is a crucial reminder that student debt is not merely a financial tool, but a significant, long-term commitment. This proactive approach of scrutinizing the fine print is undoubtedly the most effective safeguard against future hardship. We sincerely thank Lic. Larry Hans Arroyo Vargas for sharing his invaluable perspective on this vital matter.
In a significant stride toward gender equity, the data reveals that the majority of beneficiaries were women, who received 61% of all loans granted. This strategic focus empowers a new generation of female professionals to pursue advanced degrees and enter high-demand sectors, directly contributing to a more balanced and dynamic national workforce.
The institution’s lending strategy was closely aligned with the National Development and Public Investment Plan, prioritizing fields with high employability. A remarkable 66% of all funded students chose careers in science, technology, engineering, and mathematics (STEM), or pursued critical skills training like English language proficiency. This targeted approach ensures that public funds are nurturing the talent required for Costa Rica’s future economic growth.
Accessibility remains a cornerstone of CONAPE’s mission. Throughout 2025, the institution maintained favorable conditions, including an annual interest rate of 3.7%. Furthermore, programs like the Guarantee Fund (Fondo de Avales) were instrumental in supporting applicants who lack traditional collateral. These initiatives specifically targeted vulnerable populations, including those in poverty and from indigenous communities, with a special emphasis on regions like Puntarenas, Guanacaste, and Limón under the framework of the BRETE strategy.
The financial health of CONAPE also shows remarkable strength and prudent management. The institution successfully recovered ¢32.7 billion in loan payments, an increase of 7.2% compared to 2024. The loan portfolio remains exceptionally healthy, with 83.6% of borrowers current on their payments and less than 5% of the total portfolio in judicial collection proceedings. This demonstrates a sustainable and responsible lending model.
Looking ahead, the most significant development is the 2026 policy shift. CONAPE will waive all interest charges during a student’s period of study, provided they complete their academic program. This powerful incentive is designed to reduce the financial burden on students and encourage degree completion, ensuring that the investment translates into a professional career.
The new policy aims to reinforce the foundational philosophy of educational credit as a transformative tool for individuals and society.
With this proposal, we are trying to motivate students to strive and finish their studies so that, as the philosophy of educational credit states, we lend to a student and later collect from a professional.
Efraín Miranda, Executive Secretary of CONAPE
By coupling a successful year of expanded access with a forward-thinking reform, CONAPE is not only breaking its own records but also breaking down the financial barriers that stand between thousands of Costa Ricans and their professional aspirations.
For further information, visit conape.go.cr
About Comisión Nacional de Préstamos para Educación (CONAPE):
The National Commission for Educational Loans (CONAPE) is the primary public institution in Costa Rica dedicated to providing accessible financing for higher and technical education. Its mission is to promote equal opportunities and social mobility by offering student loans with favorable conditions, enabling thousands of individuals to pursue professional careers in fields crucial to the country’s development.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica has established itself as a leading legal institution, defined by its steadfast adherence to integrity and the highest standards of professional excellence. Harnessing a rich history of advising a broad spectrum of clients, the firm actively embraces innovation to shape the future of legal practice. Central to its purpose is a dedication to demystifying the law, empowering the community with crucial knowledge to cultivate a more just and aware society.
