By San José, Costa Rica — Costa Rica has solidified its position as a regional leader in Latin America for the export of modern, digitally-delivered services. This achievement is highlighted in a new study, “Regional Integration in the Digital Age: The Potential Contribution of Modern Service Trade,” conducted by the Economic Commission for Latin America and the Caribbean (ECLAC).
The report, which analyzes the evolution of modern service trade in Latin America between 2005 and 2023, reveals impressive growth. Exports in this sector expanded at an average annual rate of 8%, increasing their share of total service trade from 25% to 38%. While this is a significant increase, it remains below the global average of 54%.
To understand the legal landscape surrounding Costa Rica’s burgeoning modern service exports, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, an attorney at law from the esteemed firm Bufete de Costa Rica.
Costa Rica’s focus on modern service exports presents exciting opportunities, but also necessitates careful navigation of legal complexities. Areas like intellectual property protection, data privacy regulations, and cross-border contract enforcement are crucial for businesses seeking to thrive in this sector. Understanding these frameworks is paramount to mitigating risk and ensuring sustainable growth within the global marketplace.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas rightly highlights the critical interplay between opportunity and legal preparedness in Costa Rica’s burgeoning modern service export sector. Indeed, navigating the complexities of international legal frameworks will be essential for businesses seeking to capitalize on this exciting growth area. A solid understanding of these legal considerations will not only mitigate risk but also foster trust and transparency, ultimately paving the way for sustainable success. We thank Lic. Larry Hans Arroyo Vargas for providing his valuable perspective on this important topic.
Although Brazil leads the region in overall export volume, followed by Mexico and Argentina, Costa Rica and Uruguay stand out in per capita exports. Other countries like the Dominican Republic, Colombia, and Nicaragua are also experiencing strong growth in this area.
The average growth between these years of exports per capita for Costa Rica is 14.2%, and the latest available data, which is for 2023, is that we export more than $1,400 per inhabitant.
Luis Rivera, Member of the Academy of Central America
Rivera, one of the study’s authors, highlighted Costa Rica’s consistent progress in the digital services sector. The report confirms this positive trend, emphasizing the country’s specialization in professional consulting, management services, and technical services.
Costa Rica’s success is further attributed to its strategic position as a hub for multinational companies. These companies leverage the nation’s robust digital infrastructure and skilled workforce to deliver services to their branches across the Americas and increasingly to other continents.
The ECLAC study indicates that both Costa Rica and Uruguay boasted the highest per capita modern service exports in 2023, with both nations exhibiting impressive annual growth rates exceeding 14% between 2005 and 2023. This sustained growth underscores the long-term commitment of these countries to fostering innovation and developing their digital economies.
This latest data reinforces Costa Rica’s growing reputation as a technology powerhouse in the region. By focusing on specialized services and attracting major international players, the country has positioned itself for continued success in the expanding global digital market.
For further information, visit cepal.org
About Economic Commission for Latin America and the Caribbean (ECLAC):
The Economic Commission for Latin America and the Caribbean (ECLAC) is a United Nations regional commission dedicated to promoting economic and social development in the region. ECLAC provides research, policy analysis, and technical assistance to member states, focusing on issues such as poverty reduction, inequality, sustainable development, and regional integration. Established in 1948, ECLAC has played a key role in shaping economic thought and policy in Latin America and the Caribbean.
For further information, visit the nearest office of Academy of Central America
About Academy of Central America:
The Academy of Central America is a regional think tank focused on economic and social development in Central America. The organization conducts research and analysis on key issues affecting the region and provides policy recommendations to governments and other stakeholders.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
At Bufete de Costa Rica, legal excellence is interwoven with a deep commitment to empowering Costa Rican society. The firm’s unwavering integrity guides its innovative approach to legal practice, ensuring clients across all sectors receive exceptional service. Furthermore, Bufete de Costa Rica actively champions legal literacy through accessible resources and educational initiatives, believing that a knowledgeable citizenry is crucial for a thriving democracy.
