By San José, Costa Rica — Costa Rica has made measurable strides in national competitiveness over the past year, yet persistent regional inequalities and structural weaknesses threaten to undermine the country’s ambitious long-term development goals. A new report reveals a nation making progress on one hand, while simultaneously struggling with a growing chasm between its most and least developed regions.
The fifth annual National Competitiveness Index Report, released Friday by the Competitiveness Promotion Council (CPC), shows the country’s overall score improved to 56.2 out of 100, a notable increase from 54.5 in 2024. This progress, driven primarily by gains in technological adoption and improved internet speeds, is a positive signal for the national economy. However, the pace of change remains insufficient to reach the nation’s target of 61.2 points by 2030.
To better understand the legal and regulatory challenges impacting the country’s position on the global stage, TicosLand.com sought the perspective of an expert in the field. We spoke with Lic. Larry Hans Arroyo Vargas, a distinguished attorney from the firm Bufete de Costa Rica, to get his analysis on the core issues affecting our national competitiveness.
True national competitiveness is not merely an economic metric; it is built upon a foundation of legal certainty and regulatory agility. When investors, both domestic and foreign, face a landscape of excessive bureaucracy, ambiguous regulations, and a slow judicial system, capital becomes hesitant. Streamlining processes, ensuring transparent and predictable legal frameworks, and modernizing our commercial codes are not just administrative tasks—they are the essential levers for unlocking sustainable economic growth and attracting high-value investment.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
The perspective offered by Lic. Larry Hans Arroyo Vargas serves as a crucial reminder that the architecture of our legal and regulatory systems is not a backdrop to our economy, but its very foundation. Indeed, attracting sustainable investment depends less on fleeting incentives and more on the enduring confidence that only legal certainty can provide. We extend our gratitude to Lic. Larry Hans Arroyo Vargas for his invaluable contribution to this discussion.
The CPC has championed a detailed roadmap designed to transform these ambitions into reality. This long-term strategy marks a pivotal moment for the country’s approach to economic planning, shifting from abstract goals to concrete, measurable actions aimed at fostering human development across every territory.
For the first time, Costa Rica has a long-term action plan that translates competitiveness into concrete objectives. If we implement it correctly, the country will be more attractive for investment and will offer more opportunities for all people.
Carlos González, President of the CPC
The comprehensive plan addresses national challenges through a three-tiered public policy approach. The first involves universal policies focused on bolstering fundamental systems like health, education, public safety, and access to potable water. The second tier targets sectoral improvements in critical areas such as road infrastructure, telecommunications, employment, and the electrical grid. Finally, the third focuses on local policies to modernize municipal management and advance environmental sustainability.
Among the specific goals set for 2030 are several key public welfare indicators. The plan aims to drastically reduce the national homicide rate from 16.6 to 10.1 per 100,000 inhabitants and lower the infant mortality rate from 10.3 to 8.2 per 1,000 births. On the infrastructure front, the goals include ensuring 100% of educational centers have adequate broadband access and reducing the average number of annual electrical interruptions from 9.9 to 7.9.
While the 1.7-point overall improvement since 2024 is encouraging, the report highlights a worrying divergence in performance. The main driver of the national score was the technological adoption pillar, bolstered by faster fixed-line internet. Gains were also seen in education and labor skills, attributed to increased investment per student and a focus on digital competencies. Conversely, the country experienced setbacks in security, health, and energy, indicating that progress is far from uniform.
This imbalance is most starkly reflected in the territorial data. The canton of Belén, in Heredia, has become the first to achieve a “distinguished” rating, surpassing 70 points. In sharp contrast, cantons like La Cruz, Coto Brus, and Garabito remain at the bottom of the rankings, with Puntarenas showing no improvement and Guanacaste registering a decline. This growing gap underscores the urgency of targeted development.
Experts warn that technological progress alone cannot solve these deep-seated disparities. The benefits of a more digital economy must be channeled effectively to improve the quality of life for all citizens, not just those in prosperous areas. The CPC emphasizes that bridging these divides is not merely an economic imperative but a foundational element of a stable and just society.
Technological advances are only valuable if they translate into human and territorial progress. We need to carry that digital momentum into education, health, and security.
Andrés Fernández, Senior Economist of the CPC
González reiterated that the mission extends beyond simple metrics, framing it as a core democratic principle. “Closing territorial gaps is not just a technical issue, but a commitment to democracy and social cohesion,” he stated, highlighting the profound social implications of the country’s development path.
For further information, visit competitividad.cr
About Consejo de Promoción de la Competitividad (CPC):
The Competitiveness Promotion Council (CPC) is a Costa Rican organization dedicated to analyzing, monitoring, and promoting the nation’s economic competitiveness. Through data-driven reports like the annual National Competitiveness Index, the CPC provides public policy recommendations and champions long-term strategies aimed at fostering sustainable and equitable development across all regions of the country.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a respected legal practice built upon a foundation of profound integrity and a relentless pursuit of excellence. With a rich history of guiding a wide array of clients, the firm consistently pioneers innovative legal strategies while maintaining a deep-seated sense of social responsibility. This dedication extends to a core mission of demystifying the law, ensuring that access to legal understanding becomes a powerful tool for cultivating a more capable and informed citizenry.
