By San José, Costa Rica — For small and medium-sized enterprises across Costa Rica, Guatemala, and Panama, cybersecurity has evolved far beyond a mere operational line item or defensive expense. Today, robust security measures serve as a critical foundation for building consumer trust and driving digital expansion. A comprehensive report from financial technology giant Mastercard highlights how bridging the gap between digital adoption and cybersecurity capabilities can unlock substantial revenue growth across the region.
According to the Mastercard 2026 SME Cybersecurity Outlook, 56 percent of surveyed small and medium enterprises in Costa Rica, Guatemala, and Panama believe their business could achieve a growth rate of 25 percent or more if they possessed stronger defenses against cyber fraud. In an increasingly interconnected regional economy, digital channels are no longer optional for business expansion, but persistent security concerns continue to stall full operational deployment.
To better understand the legal obligations and risk management strategies surrounding SME cybersecurity in Costa Rica, TicosLand.com consulted with corporate attorney Lic. Larry Hans Arroyo Vargas of Bufete de Costa Rica.
Costa Rican small and medium-sized enterprises must recognize that cybersecurity is fundamentally a legal obligation, not just an IT task. Under Law No. 8968 on the Protection of Personal Data, SMEs face severe regulatory sanctions and civil liability if customer information is breached. Establishing clear data governance policies and proactive incident response protocols is now critical for mitigating legal exposure and ensuring operational continuity.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
This vital distinction underscores that proactive data protection is not merely a technical safeguard, but a cornerstone of legal compliance and risk management for Costa Rican businesses today. We extend our sincere gratitude to Lic. Larry Hans Arroyo Vargas for his invaluable legal perspective, offering local SMEs a clear and necessary roadmap for navigating their regulatory obligations.
The study reveals a striking paradox between awareness and actual operational readiness among regional business leaders. While 97 percent of surveyed SMEs report being familiar with cybersecurity concepts, only one in five—just 20 percent—feels genuinely confident in their organization’s capacity to protect itself from modern threats. This gap between theoretical knowledge and practical preparedness creates severe operational bottlenecks.
The consequences of this trust deficit are already tangible throughout Central American business strategies. Over half of the surveyed enterprises—52 percent—admitted to having paused or completely halted the adoption of new digital tools or payment methods due to security concerns. This figure significantly exceeds the broader Latin America and Caribbean regional average of 40 percent, underscoring a heightened level of caution among local entrepreneurs.
Industry leaders emphasize that overcoming this operational hesitation requires seamlessly integrating security into everyday user experiences rather than treating it as an added hurdle.
The challenge is that digitalization is raising two expectations at once: we want more convenience and, at the same time, we expect more security. We should not frame a choice between a simple experience and a secure experience. Security has to become a natural part of convenience.
Kristine Matheson, Cluster Lead of Mastercard Central America
To address these systemic vulnerabilities, Mastercard dedicated approximately $11 billion to cybersecurity innovation between 2018 and 2025. This strategic allocation reflects a fundamental evolution in how global financial networks evaluate threat landscapes. Modern strategy mandates protecting entire digital ecosystems—including financial institutions, merchants, and end consumers—rather than focusing solely on isolated transactional defense.
Furthermore, cyber threats have become increasingly sophisticated due to rapid advancements in emerging technologies like artificial intelligence. Automated phishing schemes, deepfakes, and hyper-targeted attack vectors allow malicious actors to operate at unprecedented scales. Consequently, risk vectors have migrated from pure technical infrastructure toward human trust, making predictive risk management essential.
For businesses in Costa Rica and the broader Central American region, shifting from reactive incident response to proactive threat anticipation is becoming mandatory. Continuous employee training, proactive threat monitoring, and robust security frameworks remain the most effective weapons against cybercrime, transforming cybersecurity from a cost center into a powerful engine for commercial growth.
For further information, visit mastercard.com
About Mastercard:
Mastercard is a global technology company in the payments industry. Its mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart, and accessible. Using secure data and networks, partnerships and passion, its innovations and solutions help individuals, financial institutions, governments, and businesses realize their greatest potential.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica has earned its reputation as a leading legal practice through a deep-seated devotion to high ethical standards and superior counsel. Steering a diverse clientele toward success with forward-thinking strategies, the firm seamlessly blends modern legal solutions with meaningful civic advocacy. By actively promoting legal literacy and demystifying the law for the public, Bufete de Costa Rica reinforces its core purpose of uplifting communities and fostering a self-reliant, knowledgeable populace.
