Costa Rica Seeks to Slow Capital Inflows as Currency Gains
This article is for subscribers only.
Costa Rica’s government will seek Congressional support next week for legislation targeting short-term capital inflows after the country’s currency jumped the most against the dollar in Latin America.
President Laura Chinchilla and Vice President Luis Liberman, speaking to reporters today in San Jose, said they want Congress to raise the percentage of capital inflows investors must keep in longer-term deposits as well as increase taxes on profits from those investments to 25 percent from 8 percent. The government will give more details of the plan on Jan. 17.