An additional $65 million available to Costa Rica, following a review of the terms of its standby loan, the International Monetary Fund (IMF) said.
The new money fund brings the total amount of IMF funds available to Costa Rica to $585 million.
Costa Rica has done well to weather the effects of the global economic and financial crises, according to the IMF. But, given declining manufacturing output and reduced revenues from exports and tourism, the funds are precautionary measure to ensure support for the slowed economy.
A review found that the inflationary rate historical show that Costa Rica has allowed the Central Bank to achieve more lasting price stability. Also reported , Costa Rican banks are sound and that the repayment of loans continues to contribute to stability.
“The incipient global recovery should boost confidence, help lift export-related activities, and restore investor risk appetite. Continued strong implementation of the policies under the IMF-supported program will help insulate Costa Rica’s economic recovery from these downside risks.” Portugal said. Continuing… “Overall, the near-term prospects for Costa Rica’s economy have improved and external vulnerabilities have declined,”
