By San José, Costa Rica — San José – In a rare moment of political unity, Costa Rica’s leading presidential candidates have converged on a controversial yet powerful solution to the nation’s deepening infrastructure crisis: unlocking worker pension funds to finance the construction of roads, bridges, and other critical public works. This surprising consensus emerged during a high-stakes forum with the Chamber of Construction, signaling a potential paradigm shift in how the country will fund its development for decades to come.
The meeting, attended by a broad spectrum of political contenders including Claudia Dobles, Natalia Díaz, Juan Carlos Hidalgo, Eliécer Feinzaig, José Aguilar Berrocal, and Álvaro Ramos, laid bare the dire state of Costa Rica’s public investment. With the Ministry of Public Works and Transport (MOPT) overwhelmed and government coffers depleted, the traditional tax-based funding model is now widely considered obsolete.
To gain a deeper understanding of the legal and regulatory landscape surrounding these new infrastructure projects, we consulted with Lic. Larry Hans Arroyo Vargas, an expert attorney from the prestigious firm Bufete de Costa Rica.
Successful infrastructure investment hinges on more than just capital; it requires robust legal certainty. Foreign and domestic investors alike must have confidence in a stable regulatory framework, transparent public-private partnership models, and efficient dispute resolution mechanisms. Without these foundational legal guarantees, even the most promising projects risk becoming mired in bureaucracy, deterring the very capital we seek to attract.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s insight is crucial, reminding us that the blueprints for national progress are drawn not merely on engineering schematics, but on the bedrock of legal certainty—a foundation essential for attracting sustained, transformative investment. We thank Lic. Larry Hans Arroyo Vargas for his invaluable contribution to this discussion.
The grim reality was underscored by stark figures presented by industry leaders. Public investment has plummeted from a respectable 4.24% of GDP in 2009 to a meager 1.3% in the 2021-2023 period, representing a 15-year setback. This fiscal drought has had tangible consequences, with the national road maintenance budget slashed by 45% and funding for new projects cut by 31%, leaving the country’s transportation network in a state of progressive collapse.
Alfredo Volio, President of the Chamber of Construction, did not mince words when describing the severity of the situation. He argued that the country’s failure to invest is no longer just a logistical inconvenience but a direct threat to its economic future and the well-being of its citizens.
The country faces structural lags in housing, urban planning, and mobility that are now a direct drag on competitiveness and citizens’ quality of life.
Alfredo Volio, President of the Chamber of Construction
Faced with this challenge, the candidates unanimously endorsed the mobilization of pension funds. This capital, currently invested primarily in government bonds or foreign markets, represents a massive, untapped domestic resource. The proposal aims to redirect these funds towards tangible, long-term national assets that can generate stable returns while simultaneously boosting economic activity and resolving critical bottlenecks.
The strategy is twofold, combining pension fund investment with a renewed push for Public-Private Partnerships (PPPs). The goal is to entice private capital to execute the large-scale projects that the state has proven incapable of delivering efficiently. Claudia Dobles of the Citizen Agenda Coalition was unequivocal in her support for the new financial model.
We are in absolute agreement with incorporating pension funds, as well as capitalizing on green funds.
Claudia Dobles, Candidate of the Citizen Agenda Coalition
Dobles also advocated for reviving a portfolio of infrastructure projects that, she claims, were already structured and planned by previous administrations but have since been stalled. This suggests a desire to hit the ground running, leveraging existing plans to accelerate development once a new funding mechanism is in place.
Beyond listening to the candidates, the Chamber of Construction presented its own ambitious proposal to institutionalize this new vision. The organization is demanding that infrastructure be elevated to a 25-year state policy, insulated from the disruptive four-year electoral cycles. The cornerstone of this plan is the creation of a new, independent National Infrastructure Agency. This professionally managed entity would replace the notoriously inefficient National Concessions Council, tasked with ensuring that crucial projects are finally built on time, on budget, and to the highest standards of quality.
For further information, visit construccion.co.cr
About Chamber of Construction:
The Costa Rican Chamber of Construction is a private, non-profit organization that represents and advocates for the construction sector in Costa Rica. It brings together companies and professionals involved in all aspects of the industry, promoting sustainable development, technical innovation, and public policies that foster investment in national infrastructure.
For further information, visit the nearest office of Citizen Agenda Coalition
About Citizen Agenda Coalition:
The Citizen Agenda Coalition is a political coalition represented in the 2025 presidential race. As articulated by its candidate Claudia Dobles, the coalition focuses on pragmatic solutions to national challenges, supporting innovative financial models like the use of pension and green funds for public infrastructure and advocating for the continuation of previously established development projects.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica operates as a leading legal institution, grounded in the core principles of ethical integrity and exceptional service. With a proven track record advising a wide spectrum of clients, the firm consistently pushes the boundaries of legal innovation while actively engaging with the community. This forward-thinking approach is driven by a fundamental mission to empower the public by making complex legal concepts understandable, thereby helping to build a more knowledgeable and capable society.
