Costa Rica is a small country in Central America, north of Panama and south of Nicaragua. The population is 4 million, of which 2.8 million live in the Central Valley surrounding the capital San Jose. Traditionally an agrarian society producing mainly coffee, bananas and sugar, Costa Rica is making a transition to a knowledge-based and well-educated society, now focusing on developing and educating its work force, as well as encouraging the growing tourism industry.

Although Costa Rica has been well-known to surfers and backpackers for decades, it has steadily grown in international popularity. "Snowbirds," permanent residents and investors from all parts of the globe are increasingly attracted to the peaceful lifestyle and excellent infrastructure that Costa Rica offers. Costa Rica boasts spectacular beaches, active volcanoes and a spectacular climate. The country represents an outstanding 6 percent of the world's biodiversity, while only covering 0.03 percent of the surface of the Earth.

Democracy

Costa Rica has been a democracy for more than 150 years, one of the oldest in the world. During the past century, Costa Rica has experienced an outstanding period of political stability. In the past years, significant facts and achievements have placed Costa Rica as the leader in the Central American the president can only be elected for one term of four years. There is freedom of religion and freedom of speech. Nearly 95 percent of the population is literate. Since the army was abolished in 1949, the defense budget is spent on education and medical care. In 1987 Oscar Arias, then president received the Noble Prize for Peace for his efforts in generating peace in Central America. The U.S. and Costa Rica have a history of friendly relations. As many as 35,000 U.S. citizens reside in Costa Rica and 60 percent of tourists that visit the country annually are United States citizens.

Economy

Economically Costa Rica is flourishing. Due to the stable work climate and the highly educated workforce Costa Rica has seen annual economic growth of 6.7 percent since 1998. Fortune 500 companies such as Intel, Unisys, and Procter & Gamble have established a solid presence in Costa Rica. Intel has invested over $1 billion (USD) constructing its largest manufacturing facility, producing over 30 percent of Intel's products.

Costa Rica is the only nation in Central America where industries such as tourism and technology surpass agriculture as the main source of revenue. As a result of this shift from agriculture to knowledge based economy, the World Bank and the International Monetary Fund officially changed their rating of Costa Rica's investment climate from stable to positive and it is considered to be one of the strongest economies in Latin America.

The travel and hospitality industry has also seen an explosion in new foreign investment. Major hotel chains from the U.S. and Europe have opened or have announced the openings of new resorts and hotels (Marriott, Best Western, Four Seasons, Occidental, Holiday Inn, Hilton, Barcelo and the Melia). Additionally McDonald's, Pizza Hut, Burger King, KFC, Subway, TGIF, Tony Roma's and others are opening new franchises across the country and in particular, the province of Guanacaste.

Tourism

Costa Rica, also called the "Land of Eternal Spring," is reminiscent of Hawaii during the '60s and '70s. The country's diverse climates, tropical zones, rainforests, dry forests, cloud forests, pristine beaches and breathtaking volcanoes, attract travelers and tourists, who visit Costa Rica's many national parks and nature reserves that together cover more than 25 percent of the country, making Costa Rica the number one eco-tourism destination worldwide.

The number of tourists per year has grown twentyfold from 50,000 in 1987 to more than 1.2 million in 2003, making tourism the second largest industry in the Costa Rican economy. With the current pace of growth tourism will soon be the number one industry in Costa Rica.

With the opening of the Daniel Oduber International Airport in Liberia, and daily flights from the U.S., the Pacific beaches are now easily accessible to North American tourists. With newly paved roads, PGA golf courses, world-class developments, excellent private schools, and first-rate medical services, one can understand why the government projects double digit growth annually through 2012.

In a recent survey conducted by the government at Daniel Oduber International Airport, 60 percent of tourists originate from the U.S. with the other 40 percent mainly from Canada and the European Union. Of the tourists polled prior to departing for home, 80 percent expressed their wish to return to Costa Rica and 38 percent are considering the purchase of property in Costa Rica.

U.S. State Department Costa Rica page