Costa Rica - Tourism and the Economy
Many have asked if Costa Rica is suffering economically from decreased travel or investment and home buying as cash-strapped foreigners deal with world-wide economies suffering from high oil prices and other regional issues such as the U.S. home mortgage crisis.
It should go without saying that Costa Rica is definitely concerned - especially with fears of a full-blown economic recession in the United States. After all, Americans accounted for 54% of the 1.9 million visitors that traveled to Costa Rica in 2007.
Just recently the Costa Rican Institute of Tourism (ICT) launched an aggressive $14 million dollar U.S. marketing and advertising campaign over the Internet and through a public relations agency hired in New York to promote Costa Rica as an exotic destination that is closer and less expensive than similarly marketed destinations such as Thailand and other Asian countries.
Europe is the second largest market for Costa Rica tourism, accounting for 17% of the visitors. The majority of the European travelers are from Spain, Germany, France, England, and Italy. In addition to these countries, the ICT is intensifying publicity in the growing markets of Russia, France and Switzerland. Marketing Costa Rica to Asian markets is on the agenda as well. Last year an agreement was signed with China, adding Costa Rica as a tourist destination.
With so many different countries choosing Costa Rica as a first-tier vacation location, the ICT predicts a tourist growth rate of 6% in 2008. This in addition to the 10.15% increase achieved just last year.
The Coral Princess is the first of 125 cruise liners and 140.000 visitors
to dock at Puntarenas and Caldera, Cost Rica this year.
Costa Rica as a Destination for Entrepreneurs:
Surveys of Costa Rica tourists indicate they are well educated and spend considerable discretionary income on travel. The majority are adventurous with their choices of activities and accommodations and plan their own trips versus relying on travel agents. These primarily American tourists are; affluent, college educated with over 90% having bachelors or graduate degrees, middle aged, and married without children living at home. Their education and income levels indicate they are high-end travelers that are somewhat recession proof.
Activities in Costa Rica:
Conservative travel activities and moderate length of stay are favored by the typical Costa Rica traveler. The majority of the first-time travelers prefer Costa Rica more than any other Latin American destination that they had visited based on Costa Rica's ecotourism and its unspoiled environment. The primary activities of these travelers are:
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Ecotourism
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Sightseeing
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Beach and Waterfront Activities
Rank of Latin American Countries:
The fact that Costa Rica was ranked as the number-one destination among Latin American countries indicates its current worldwide attractiveness as one of the worlds top tourist destinations.
Rank of World-Wide Countries:
The United Nations World Tourism Organization (UNWTO) projects the increase in world-wide international tourist arrivals to be around 3 percent for 2008 ... while projecting Costa Rica's 2008 tourism increase to be around 10 percent .
Costa Rica has been a member of the United Nations World Tourism Organization (UNWTO) for three years and in October, 2008 Costa Rica's Minister of Tourism, Carlos Ricardo Benavides, was appointed to head the UNWTO Executive Council. "The appointment is a high recognition of Costa Rica's efforts in sustainable tourism. [Costa Rica] has become a model and leader in this arena," said Minister Benavides.
According to Minister Benavides; "This position plays an important role within the WTO as it helps to lead and approve … important topics such as poverty eradication through tourism in developing countries, fair economic distribution, as well as conversation, protection and adequate use of natural resources.
Travel to Costa Rica:
Last year, seven new airlines began flying to Costa Rica; four U.S. and
three European. These new flight options represented an increase in
675,000 available seats for a grand total of 2.7 million annual airline seats to
Costa Rica - which is a 33% increase over the last several years. Costa Rica is now working to attract two new low-cost
American airlines as well as a giant European airline interested in
adding Costa Rica as a new destination.
Guanacaste, the Pacific Coast - Increase in Tourism in 2008
Tourism in Guanacaste reached a new high in the first three months of 2008, as more than 150,000 people flew into the region via the Liberia airport. These new figures confirm that Guanacaste has become the principal tourism destination of the country, with many tourists so satisfied with their experience that they keep coming back for more.
Vacation and Retirement Homes in Costa Rica:
Costa Rica matured approximately five years ago into a premier destination for vacation and retirement homes. Successful tourism surely fueled this housing market that has caught-on with Baby Boomers and their children, the Gen-X'ers.
Tourism and Housing Effects in Costa Rica:
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Costa Rica's economic growth continues unabated.
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Tax receipts for services and infrastructure keep increasing.
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Rundown areas are being cleaned up and modernized.
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Property values rise as new housing developments and resorts continue construction.
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More Costa Rica residents have jobs.
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Most Costa Rican's view tourism and development projects as an opportunity to improve their own lives.
The above information* is provided as a simple overview of how Costa Rica is doing during these current world-wide economic times.
Bottom line: Pretty good overall ;o)
¡Pura Economía!
*Statistics and a large part of the above content was compiled and graciously provided by Tom Rosenberger, owner of Costa Rica Home Builder (www.CostaRicaHomeBuilder.com).
Categories: Beaches in Costa Rica, Home Renting in Costa Rica, Cost of Living in Costa Rica, Employment in Costa Rica, Vacation Homes in Costa Rica, Real Estate in Costa Rica, Second Homes in Costa Rica, News from Costa Rica, Government of Costa Rica, Culture in Costa Rica, Investing in Costa Rica, Working in Costa Rica, Business in Costa Rica, Retirement Homes in Costa Rica, Tourism in Costa Rica, Retire in Costa Rica, Living in Costa Rica
Bill,
My hubby and I have spent over two months in CR the past two years and just returned from our fourth trip. We've enjoyed your info and want to congratulate you on your move.
We've rented a 4WD vehicle each trip and not had a problem seeing the entire country. We've fallen in love with the southern Pacific Coast and love the tacky little town of Quepos. While we live in Florida and weather is not an issue- we're close to making the move!
Keep up your writing!
Charles & Kaye
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I am coming to Costa Rica for my first time and am trying to 'psych' myself out to be cool about the trip. It is such a 'big deal' for me.
I wear t-shirts and jeans all the time and plan to pack very light bringing carry-on only. I will wash by hand, if necessary.
Is it hot or cold there? The weather channel says it's really cool in San Jose but then it says it's hot. Then there are reports that it has been raining there for the past 10 days. I must not be looking at the right thing.
Is there anything I absolutely cannot carry on the plane or through customs that I shouldn't take? For example, can I bring snack foods? Some packing tips would be appreciated.
Linda
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Linda,
You will enjoy your first trip to Costa Rica … of this I’m sure :o)
Traveling light is a good idea. There is nothing you can’t buy in Costa Rica should you forget something. Costa Rica has Wal-mart (Hipermas), Cosco (PriceSmart) and stores for every need. You’re not exactly roughing it when it comes to shopping ;o)
As for your carry-on only idea; please keep in mind that airlines are becoming very strict. As an example; American Airlines carry-on policy limits passengers to one small bag not exceeding 45 dimensional inches (length + width + height) or 114 cm and one personal item such as a purse or laptop attache case.
Restrictions regarding items contained within the carry-on luggage can be found at: www.TSA.gov. From what I've read you can bring your mentioned snacks, but any liquids are limited to 3 ounces unless purchased after the security checkpoint or within the airports concourse/gate area vendors.
Your August visit is during the Costa Rica “Green Season” (aka: the rainy season). It does rain most days, but not all day unless there is a tropical depression or storm in the area. Temperatures will range from the 60’s in the mountains to the 90’s at the beaches. Choose your temperature by elevation!
As for what to pack; I would pack the same as you do for most any trip. But in answer to your trip specific questions:
• Inland in the mountains and Central Valley locals wear cotton shirts, long pants (mostly jeans), comfortable shoes and carry an umbrella with a light jacket or sweater being as the weather can change several times a day.
• At lower elevations and near the oceans locals wear cotton short-sleeved shirts, shorts or breathable slacks or skirts with sandals or other types of breathable shoes.
You are definitely a tourist if wearing a flower print or “Hawaiian shirt” with a straw hat, shorts and sandals while walking around the capital of San Jose. Such obviousness can sometimes lead to problems as criminals are known to target individuals they assume as tourists for their cash, valuable electronics and the inherent inability to follow through with a successful criminal complaint/prosecution during a limited vacation stay.
I hope you find the above information to be helpful.
Again, I'm confident your trip to Costa Rica will be your first of many!
!Pura Vida!
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Bill,
Need your advice. We are still pondering Costa Rica travel plans.
We will be arriving in San Jose then driving to Guanacaste and the NW coast for 4 nights at Villas Sol in Playa Hermosa. Then we're onto Liberia were we are spending 3 nights at Casita Toucans. Our last destination in Limon is Mi Amor Resort in Guacimo.
The questions is whether to travel south to Jaco, Manuel Antonio or head to San Jose for a couple of nights then up to Guacimo.
What do you suggest. I & A
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I&A
Assisting you with your final decision is difficult, because (obviously) the two choices you list are extreme opposites and dependent on your wants.
I personally love Quepos/Manuel Antonio. My son has lots of family there and I have stayed there for weeks at a time.
Jaco I have never been impressed with, but others love it as it has more nightlife than Quepos/M.A.
San Jose offers all the amenities (4 Star Hotels & Restaurants, Museums, Theaters, Historic Places, Casinos, Dance Clubs, etc.) as well as decadent diversions (Lifestyle Clubs, massage parlors and strip clubs with 'full service', etc. ) associated with larger cities.
That's a problem here in Costa Rica ... it's small on the map but large in diversity and drive times due to the terrain. Often times people want to do it all but find themselves running out of time. Nevertheless, a good time is had by most and return trips are popular!
I hope you found some of the information above helpful, even though I didn't directly answer your question :o)
Let me know what you guys come up with and if I can assist in narrowing down any specifics.
P.S.: I recently added new pictures of our travels to Tortuguero and La Fortuna in the "Destinations" album of our online pictures located at BienvenidosCostaRica.dotPhoto.com
-Bill
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ok, we're going to Costa Rica on our honeymoon (more like horny moon;o) *wink*) in November. ANY ADVICE? on want to bring, what to do, and what the weather will be like? HELP PLEASE!!!!
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Hola Sarah,
Depending on your time in-country and likes/dislikes there is much to do in Costa Rica ... that said, in my experience horny moons in tropical locations must involve some serious beach time.
Quepos/Manuel Antonio in the Central Pacific is a great place to stay. The area offers a great national park, beaches, ocean, jungle and great ocean-side town with restaurants, shops and local culture.
Depending on your budget there are many hotel options.
Hotel Costa Verde of Manuel Antonio (www.CostaVerde.com) is a great choice for views of the ocean from where the mountains meet the sea and there are still more monkeys than people (all advertising lines that are true).
A great family owned budget hotel in Quepos is Hotel Mar y Luna (teléphono 506-777-0394) where a nights stay is less than $30.00.
You will not be disappointed in this location - whether you actually leave your hotel room or not. Bring your typical tropical beach attire if you do plan to explore and have fun making some memories ;o)
Be sure to check out all my blog posts for reviews of other desirable Costa Rica destinations.
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I'm 21 yrs old i have a few hundred thousand dollars , my girlfriend and i would like to move to paradise but also work i was considering an ATV rental or Jeep safari trips. Ive never been there but i know a few who have and loved it .Any suggestions ???
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Hammer,
I'm on the ground here in Costa Rica starting several new businesses with the experience of running a successful service business for the past 10 years in the U.S.
Although the amount of money you have to work with is certainly a good amount considering your age and the business you are interested in investing ... you could end-up losing most of it without proper research and vigilance in running your business.
In Costa Rica I advice that you 'double' your time line for getting a business started, 'double' what you think your expenses will be & 'half' what you think your income will be.
Each plane landing daily in Costa Rica has "Gringo" after "Gringo" trying to figure out how they can stay and make a living. There is no shortage of "yes" men willing to assist a person like yourself ... telling you your success is guaranteed while taking your money to 'help' you get the proper documents, assets, etc., etc.
If I were you I would not even consider starting a business in Costa Rica without spending a considerable amount of time in-country. In fact, if you do find a business you would like to explore seriously ... I suggest going to work for an established and successful company in order to gain invaluable experience prior to risking your own money.
This way you will; a) know how a profitable business works, b) ensure you like the business and living in Costa Rica.
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Cockroaches in Costa Rica's hotels!?!?!?
Okay. So im pretty positive cockroaches are all over the place in Costa Rica but what I want to know is are they avoidable? Will my hotel have them no matter where I stay?
I am thinking of taking a trip to Costa Rica and I have HUGE fear of roaches. Literally, you will see a grown man cry if one is thrown at him, then you'll see a fist coming your way. So this will really make or break my plans. I really want to go there and I dont mind paying more to stay in a hotel that does not have them.
Any recommedations are appreciated.
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Robert,
It's a fact that any place warm year round will have an active cockroach population. It's also a fact that any building that receives deliveries of food will be exposed to cockroaches. And finally, any building that invites people from around the world to unpack personal items and stay days at a time will be ground zero for traveling bugs.
Any hotel South of the North American frost-line will have all of these properties. The key question is not if the hotel has cockroaches, but how active the hotel management is in working to mitigate the little buggers.
Find a clean hotel, keep your luggage zipped-up and enjoy your stay in this beautiful country ... with the confidence of knowing all living animals (insects or otherwise) still have their own predators to worry about here in Costa Rica ;o)
¡Pura Cucarachas!
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What is the best time of year to visit Costa Rica? I hear the heat gets brutal, I'd like it to be warm but not too hot
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Hey Larry,
I am responding at 1pm from my home in Costa Rica. It's 75 degrees, sunny and there's a light breeze moving through the house. Perfecto!
Costa Rica is a small country that is topographically diverse ... "Where the mountains meet the sea".
With the Caribbean/Atlantic and the Pacific Ocean only separated by 100 miles of mountains, jungles, low lands, etc. - you can literally choose your temperature by elevation.
I enjoy living in the cooler mountains looking down on the San Jose central valley. When we seek warmer weather, we simply drive or take a bus down hill. If we desire beach time we can drive, take a bus or jump on a regional plane for a 20 minute flight to a hot beach.
Several weekends ago we were on the beach in Manuel Antonio at 2:30pm and back home in the cool mountains Northeast of San Jose at 8pm via the public bus system (a $6 cost).
Now is a good time to visit Costa Rica as our "Summer" or less rainy season is just beginning!
¡Pura Fiebre!
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I'm going to Costa Rica next week...should I take my nice camera?
I'm flying into San Jose than taking public bus to Mal Pais. I have a very nice Digital Rebel XTI camera with a zoom lens I would like to take....is this a good or bad idea?
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Mermaid,
You will want to keep your eye on any camera as petty thieves love to grab electronics if the opportunity presents itself.
My father-in-law is a professional photographer that just visited with his "old" camera worth substantially more than I have paid for my lifetime of cameras - combined. I considered it somewhat of a burden to keep one eye on his camera as we traveled by bus, taxi and boats ... but the pictures were definitely worth the perceived burden.
A cheap camera just doesn't capture the beauty you will view here in Costa Rica - especially wildlife pictures where you can only get so close before they leave your field of view.
When your not planning on taking pictures, leave the camera in the hotel safe.
Enjoy your visit and be sure to share your pictures!
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