American Expatriate Costa Rica

Economic activity slowed down for second month in a row

The economic activity index slowed down in April, registering a fall for the second consecutive month in 2016. However, it grew 4.7 percent compared to April 2015, according to a monthly report by Costa Rican Central Bank (BCCR).

The slower growth pace was partly caused by a lesser commercial activity that has been decreasing for three months in a row. Nevertheless, it is still 4 percent higher compared to last year.

The growth rate for hotels and transportation activities was also reduced, with annual variations of 4.33 and 5.45 percent, respectively.

Manufacturing reported an annual 7.22 percent increase. This industry has benefited from a higher productivity of companies at the duty-free zone.

However, Pedro Morales, financial advisor to the Industry Chamber, said manufacturing is stalled since last February.

The sectors with higher growth rates were agriculture (1.17 percent), financial and insurance services (10.33 percent), and service businesses for other companies (10.02 percent).

Source: La Nación.