New Costa Rica leader eyes global services reform: Nearshore Americas
SAN JOSÉ, COSTA RICA — Costa Rica’s global services sector could see significant policy shifts as president-elect Laura Fernández prepares to take office, signaling reforms aimed at boosting competitiveness amid rising regional competition.
According to a news analysis from Nearshore Americas, Fernández won 48.3% of the vote, avoiding a runoff, and her party holds a working majority in the Legislative Assembly, giving her the ability to advance her agenda.
Tackling strong currency and tax challenges in BPO
The strengthening of the Costa Rican colón and a growing shortage of skilled talent are major challenges for the country’s export-oriented services. The currency has appreciated nearly 30% since 2022, eroding profit margins for companies earning revenue in dollars but paying wages in colones.
“The expensive Colone and the shortage of skilled talent are our biggest challenges. I have spoken with the President-elect [.] Let us see what she will do,” said Adolfo Cruz, president of the Costa Rican Chamber of Information and Communication Technologies (CAMTIC), which represents the country’s ICT industry.
According to Fernández, exporters of services may soon be allowed to pay any domestic taxes, social security contributions, and other obligatory statutes in United States’ dollars.
The proposed measures could decrease exchange-rate risk while establishing better alignment between revenue streams and expense obligations, which would also eliminate the requirement to implement wage freezes and workforce reductions.
Driving regional expansion and tech talent development
Costa Rica’s Free Trade Zone Regime hosts more than 500 companies, most concentrated in the Greater Metropolitan Area (GAM), including San José, Heredia, and Alajuela.
The Fernández administration plans to support business expansion as office space shortages and increased demand for bilingual technical workers have created these conditions.
The administration also intends to promote business development in secondary areas through its policies that will create incentives for businesses to expand their operations into Guanacaste and Limón.
Incentives may include local hiring benefits, temporary tax exemptions, and lower electricity rates, potentially reducing operational costs by up to 7%.
Modernizing education and the proposed 4×3 work schedule
To fix the structural talent gap, Fernández has outlined plans to modernize the National Learning Institute (INA).
“It cannot operate from 8 a.m. to 4 p.m. with outdated curricula,” she told the IT chamber.
“We propose building 10 new science schools, strengthening robotics education from primary school onward, and reforming the Higher Education Council so that curriculum changes are not delayed for years by union or bureaucratic obstacles,” she added.
The proposals prioritize bilingual education, STEM disciplines, and private-sector collaboration through tax incentives.
For business processing outsourcing (BPOs) and shared services centers, Costa Rica is also debating a “4×3 work schedule.” If passed into law, this labor flexibility measure would allow private-sector workers in certain industries to complete four 12-hour shifts followed by three days off.
Though still subject to legislative review, the new work system would help companies serving international customers across different time zones improve their operational efficiency.
Ultimately, Costa Rica is leveraging these combined measures to protect its status as a premier nearshore hub for global services, especially as it faces increased competition from Colombia and the Dominican Republic. Through currency policy alignment, workforce development efforts, and regional economic incentives, the country aims to build an even more robust outsourcing capacity.
