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New measures aim to reduce spending in Costa Rica

Wednesday, January 16, 2019


Restrictions on wage hikes and zero growth in this year's budget are among the measures being taken by the Costa Rican government to reduce public spending.

The measures are in addition to historic cuts of $125 million that were imposed in the final four months of last year.

The government hopes that this year will be one in which it can make ends meet with the combination of the reductions in spending and the fresh resources that will be made available under the tax previsions of the fiscal plan.

The main obstacle continues to be servicing the debt. This year's repayments are expected to increase by 15 percent.