To read the full version of this content please select one of the options below:

Costa Rica protests to hinder Alvarado’s reforms

Wednesday, July 3, 2019

Significance

The demonstrations form part of a broader backlash against the government’s newly introduced value-added tax (VAT) and indicate the depth of popular feeling building against President Carlos Alvarado.

Impacts

  • The risk of watering down the new VAT regime will raise concerns among investors about the government’s commitment to fiscal rigour.
  • Delaying VAT implementation would also force the government to cut social spending in order to hit its fiscal deficit goals.
  • The evangelical movement will demonstrate its strength in further protests throughout Alvarado’s term.
Expert Briefings Powered by Oxford Analytica
Stay up to date
Sign up to the Expert Daily Briefings email alert and receive up-to-the-minute analysis of global events as they happen.
*If your university does not have access to Expert Briefings, visit our information page to find out more.