Information Technology Landscape 
in COSTA RICA

These pages provide an analysis of information technology in Costa Rica
Comments and suggestions are welcomed.  Please email lizadunham@aol.com.
 

 Table of Contents


Introduction

Background

Costa Rica is strategically located between Nicaragua and Panama on the Central American Isthmus.  Taking only 6 hours to drive from coast to coast on an extensive highway network, Costa Rica also allows for efficient air and sea access to North and South American markets.  San José's major airport, Juan Santamaría International, hosts 18 different airlines and enjoys a flying time of only 2 1/2 hours to Miami.

Costa Rica boasts one of the most reliable communications systems in Central America that is composed of satellite communications and telephone, fax and Internet services.  By late 1997, Internet users reached 12,000 strong, up four years ago from 128 when the service was first introduced in the country.1 In a recent study conducted by Deloitte and Touche, demand continues to grow with an estimated 500 to 1,000 new users being added each month.

Key Economic Indicators2
 

  • Currency: Colón
  • 1997 Gross Domestic Product: $9.00 Billion US
  • 1998 estimated actual growth rate: 4.5%

    •  
    Costa Rica Exports '97 Imports '97
    Growth Rate 11.9% 17.5
    Total (US Billions) $4.8 $4.1
     
    Costa Rica 1997 1998 Estimated
    Inflation Rate 11.2% 12.0
    Interest Rate 20.7% 18.4%
    Unemployment Rate 5.7% 5.3%
    Information Technology Background
    The World Paper Online Information Imperative June 1996 Index3 categorizes Costa Rica (as well as Panama, Brazil, Mexico, Colombia, Ecuador, Peru, etc.) as a "Meanderer" rather than a "Powerwalker" (United States and Sweden), a "Strider" (Finland, Australia, Canada, etc.) or a "Stroller" (Chile, Venezuela, Argentina, etc.) in its efforts to embrace the information age and become an information society.  However, based on consistent government encouragement, generous investment incentives, and a well-educated, highly productive population, one might see Costa Rica migrate from the "Meanderer" category to the "Stroller" category.
     


    The World Paper Online's Information Imperative Index identifies variables that have the most direct connection with a Country's access to, and its ability to absorb and utilize, information. Results are normalized based upon regression analysis to allow meaningful comparisons between small countries and large ones. Rankings are assigned based on three categories which measure a country's social, information and computer infrastructures. An overall score is also assigned. Top ranked countries are categorized as "Power Walkers" to represent their established infrastructures and computer literate populations. "Striders" are those nations who are moving purposefully in the direction of an Information Society with both caution and conviction. "Strollers" progress in a steady, yet slower pace, while "Meanderers" move without any great haste due to prohibitive infrastructure costs, limited consumer demand and cultural fear.

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    Last updated December 18, 1998