Election exacerbates Costa Rica infrastructure issues

Subject

Infrastructure spending.

Significance

Increased infrastructure investment under President Luis Guillermo Solis has helped drive economic activity upwards slightly over the last year. However, with elections set for 2018, multiple challenges persist, delaying attempts to address long-standing deficiencies and leaving the fate of many projects in the hands of the next administration.

Impacts

• Much of short-term investment will be in improving rural infrastructure.
• Alleviating road congestion in San Jose will be a key medium-term priority, whoever is elected president next year.
• Despite government efforts, inefficiency will hamper infrastructure investment for the foreseeable future.