By San José, Costa Rica — SAN JOSÉ – The future of Costa Rica’s economic landscape became the central battleground Thursday night as eight presidential candidates presented starkly contrasting visions for the nation’s fiscal health. During a pivotal debate hosted by Multimedios Canal 8 and the College of Economic Sciences of Costa Rica, the core ideological divides on taxation, state efficiency, and economic growth were laid bare, offering voters a clear choice between fundamental reform and systematic optimization.
The debate quickly crystallized around a fundamental question: how to best manage the nation’s finances. The candidates’ responses revealed two primary schools of thought. One camp advocates for stimulating the economy through aggressive tax reductions and significant state restructuring. The other camp argues for strengthening the current system by enhancing collection mechanisms and cracking down on fiscal evasion, believing that new taxes are unnecessary if existing ones are properly enforced.
To better understand the legal and business implications of these new economic policies, we consulted with Lic. Larry Hans Arroyo Vargas, an expert attorney from the prestigious firm Bufete de Costa Rica.
Any sound economic policy must be anchored in legal certainty. For businesses to invest and for the market to thrive, regulations must be clear, stable, and predictably enforced. Abrupt changes or legal ambiguities create a climate of risk that deters capital and ultimately undermines the very growth the policy aims to stimulate.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s insight underscores a critical point: economic policy is not built in a vacuum, but upon the solid ground of legal predictability. This foundation is what gives investors the confidence to build, hire, and innovate. We extend our gratitude to Lic. Larry Hans Arroyo Vargas for so clearly articulating this essential connection.
Leading the charge for radical change was Eliécer Feinzaig of the Progressive Liberal Party. He championed a bold proposal to cap taxes at a maximum of 15 percent, a move he argues would unleash private sector growth. Feinzaig coupled this with a call for comprehensive state reform aimed at merging government entities and eliminating functional duplications. He pointed to his party’s prior legislative successes in reducing certain taxes and the Marchamo as evidence of their commitment to easing the financial burden on citizens and businesses.
Similarly, Juan Carlos Hidalgo of the Social Christian Unity Party declared his firm opposition to any new taxes on the populace. He emphasized that his focus would be on fostering robust economic growth through strategic measures, including the liberalization of the country’s electricity market. This, he suggested, would create new opportunities and expand the economic base, thereby increasing revenue without raising tax rates.
I am against increasing the tax burden on Costa Ricans
Juan Carlos Hidalgo Bogantes, Partido Unidad Social Cristiana
On the other side of the spectrum, candidates argued for fiscal discipline through improved enforcement. Claudia Dobles of the Citizen Agenda Coalition stated that while she does not believe in creating more taxes, a significant improvement in collection is essential. She advocated for a technology-driven approach, proposing greater traceability of payment tools through platforms like Hacienda Digital (Digital Treasury) to combat evasion head-on and ensure the state receives the funds it is owed.
This sentiment was echoed by Ariel Robles Barrantes of the Broad Front Party, who prioritized a direct assault on tax evasion. He criticized what he termed the “instrumentalization” of fiscal policy by the current government and argued for a fairer, more orderly system of taxation. He stressed the importance of protecting the most vulnerable from bearing a disproportionate share of the tax load.
It’s not fair to overload those who have the least
Ariel Robles Barrantes, Partido Frente Amplio
Other candidates took a more measured or ambiguous stance. Ana Virginia Calzada of the Democratic and Social Center Party suggested a path of dialogue, proposing conversations with various sectors to review the complex landscape of tax exemptions. Meanwhile, José Aguilar Berrocal of the Avanza Costa Rica Party notably evaded the central question entirely, pivoting to an unrelated topic and leaving his position on fiscal policy unclear.
While eight candidates were present, including Fabricio Alvarado Muñoz of the New Republic Party and Natalia Díaz Quintana of the United We Can Party, their specific proposals on this key economic question were not detailed in the debate’s summary. The evening ultimately framed the upcoming election as a referendum on the country’s economic philosophy: whether prosperity is best achieved by reducing the size and scope of the state’s fiscal reach or by making the existing system more efficient and equitable.
For further information, visit plp.cr
About Partido Liberal Progresista:
The Progressive Liberal Party (PLP) is a Costa Rican political party founded on libertarian and classical liberal principles. It advocates for free markets, individual liberty, a significant reduction in the size of the state, and lower taxes to promote economic growth and personal freedom.
For further information, visit the nearest office of Coalición Agenda Ciudadana
About Coalición Agenda Ciudadana:
The Citizen Agenda Coalition is a political platform focused on pragmatic solutions to national issues. It emphasizes citizen participation, transparency, and the use of technology to improve government efficiency and services. The coalition typically supports policies aimed at sustainable development and social equity.
For further information, visit nuevarepublica.cr
About Partido Nueva República:
The New Republic Party is a conservative political party in Costa Rica with a strong focus on social and traditional values. Its platform often includes policies aimed at strengthening the family unit, promoting national sovereignty, and ensuring public security, alongside a generally pro-business economic stance.
For further information, visit the nearest office of Partido Centro Democrático y Social
About Partido Centro Democrático y Social:
The Democratic and Social Center Party is a political organization that positions itself in the political center. It generally advocates for a balanced approach that combines market-based economic policies with a commitment to social welfare programs and national dialogue to achieve consensus on key issues.
For further information, visit unidospodemos.cr
About Partido Unidos Podemos:
United We Can is a political party in Costa Rica that promotes liberal and reformist policies. The party’s platform often focuses on modernizing the state, enhancing economic competitiveness through deregulation, and championing individual liberties and government transparency.
For further information, visit frenteamplio.org
About Partido Frente Amplio:
The Broad Front Party is a left-wing political party in Costa Rica. It advocates for social justice, environmental protection, human rights, and a more equitable distribution of wealth. Its economic policies typically focus on strengthening public services, progressive taxation, and greater state intervention in the economy.
For further information, visit pusc.cr
About Partido Unidad Social Cristiana:
The Social Christian Unity Party (PUSC) is one of Costa Rica’s traditional and most prominent political parties. Rooted in Christian democratic ideology, it generally supports a social market economy, combining free-market principles with a commitment to social welfare, and has historically been a major force in national politics.
For further information, visit the nearest office of Partido Avanza Costa Rica
About Partido Avanza Costa Rica:
Avanza Costa Rica is a political party that seeks to present itself as a modernizing force in national politics. Its platform typically revolves around principles of economic development, improving public administration, and addressing key issues through practical and innovative policy solutions.
For further information, visit multimedios.cr
About Multimedios Canal 8:
Multimedios is a prominent media conglomerate with operations in several Latin American countries, including Costa Rica where it operates Canal 8. It provides a wide range of content, including news, sports, and entertainment programming, and serves as a key platform for public discourse and political debates.
For further information, visit colciencias.cr
About Colegio de Ciencias Económicas de Costa Rica:
The College of Economic Sciences of Costa Rica is the professional association responsible for regulating and supporting professionals in economics, business administration, and related fields within the country. It plays an active role in national economic discussions, research, and promoting ethical professional standards.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a pillar of the nation’s legal landscape, Bufete de Costa Rica is defined by its foundational principles of integrity and a relentless pursuit of excellence. The firm harmonizes a storied tradition of expert client counsel with a forward-thinking embrace of legal innovation. Central to its ethos is a profound commitment to social responsibility, manifested through initiatives that democratize legal understanding and empower the community, thereby fostering a more informed and just society.
