Costa Rica News - May 22, 2005

Balance of Tourism, Ecology Threatened in Costa Rica

More than most other destinations, the small, peaceful Central American nation of Costa Rica has built its travel reputation on protecting rain forests, volcanoes and gorgeous nature preserves. Yet a controversy over one of its premier rain forests -- mountainous Monteverde in the north -- shows how difficult it can be to balance the desire for tourism with a regard for ecology.

Passenger Arrivals Exceed Expectations

Operations staff at Daniel Oduber International Airport in Guanacaste have been forced to adjust their passenger forecasts following another record month at the country's second busiest airport. Officials now estimate 312,000 passengers will come through the airport by the end of the year, up nearly 40,000 people on what they had previously forecast.

Gasoline Prices To Drop!

The Autoridad Reguladora de Servicios Públicos (ARESEP) - regulating body on public prices and services - yesterday approved a decrease - yes, a decrease - in the price of gasoline. The price reduction was requested by the Refinadora Costarricense de Petróleo (RECOPE) - the state oil refinery and distributor - that will see the price of a litre of regular gasoline drop ¢24 colones from the current ¢405 colones (us$0.86) to ¢381 colones (us$0.81).

Nature Air Announces Daily Flights to La Fortuna de San Carlos

Travelling to La Fortuna de San Carlos has now been made easier thanks to the Nature Air, who have begun regular daily flights to and from the area from San José's Tobías Bolaños airport. The travel time 25 minutes by air, compared to up to three hours by road. The cost is ¢30.600 (us$65) for tourists and ¢18.800 (us$40 for nationals and ¢21.200 (us$45) for residents. Nature air says that it has added more frequent flights to other destinations like Tamarindo and Quepos. The company is using a Twin-Otter capable of carrying 19 passengers.

Costa Rica With the Highest Inflation Rate in Latin America

The Banco Central De Costa Rica (BCCR) - Central Bank - recognizes that the high cost of living is hitting Costa Ricans hard. Inflation in 2004 closed at 13%, higher than the BCCR's estimate which saw the highest interest rates in the last seven years. And figures for the first four months of 2005 are not very encouraging. According to information released by the BCCR, this month the economy is stable but inflation is rising. "Our task is to keep inflation down, but the results of the first four months of this year is nothing to gloat about...", said Francisco de Paula Gutiérrez, president of the BCCR. The direct causes of rising inflation, according to the BCCR, are: 1. the high price of coffee 2. the increase in the cost of crude oil on world markets 3. the high cost of electricity Gutiérrez said Costa Rica has one of the highest inflation rate in Latin America and as a result the high cost of living and is not being absorbed by exports and tourism. According to the president of the BCCR president, "tourism is not pay for the high cost of gasoline." Gutiérrez added that strict monetary controls will continue, but urges the passing of the Reforma Fiscal - Tax Plan. The BCCR's goal is to keep inflation at the 10% level.

Equal Opportunities

Costa Rica places 18 in the world regarding equality of opportunities for men and women, according to a World Economic Forum survey disclosed in London. The study points out that there is an enormous gap in Latin America regarding variables such as education, participation in politics and economy, job opportunities and health and welfare. The analysis places five Scandinavian countries - Sweden, Norway, Island, Denmark, and Finland- at the top. The United States places 17, followed by Costa Rica. The other Latin American nation after Costa Rica is Colombia, in the 30th position. The chief economist of the Forum, Augusto Lopez, pointed out that Costa Rica is an exception, and said that this is due to larger spending on education and the absence of armed forces.

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