Costa Rica profile

Demography and Health

Costa Rica's population sits at about 5.13 million in 2024, reflecting a moderately sized society with strong social indicators. Life expectancy at birth is high, at 80.8 years in 2023, and the crude birth rate is relatively low at 10.2 per 1,000 people, while the crude death rate stands at 5.46 per 1,000. These demographic signals point to an aging population and rising old-age dependency, which will increasingly shape pension systems, healthcare demand, and labor-market dynamics. Net migration is modestly positive in 2024 (967 people), suggesting immigration complements natural population change and can support labor supply and demographic balance during the transition. Health outcomes are solid: under-5 mortality is 10.5 per 1,000 live births (2023), and life expectancy and child-survival metrics align with a well-functioning health system. Domestic health expenditure is 7.18% of GDP (2022), with per-capita health expenditure (PPP) around 1,322 international dollars (2022), and a physician density of 2.64 per 1,000 people (2022); hospital beds are 1.18 per 1,000 (2021). Still, poverty remains non-trivial—about 24.4% of the population in 2023—indicating that access to health services and nutrition can still be uneven across regions. Internet access is widespread, with 85.4% of the population online in 2023, supporting digital health initiatives and information access. Together, these factors reveal a society with strong health and human development baselines, but with ongoing needs to reduce poverty pockets, expand healthcare capacity, and address aging-related demand. Undernourishment is low at 2.5% (2022), signaling relatively adequate nutrition overall, though regional disparities may persist.

Economy

Costa Rica shows a mature, services-oriented economy with a solid income level and open trade orientation. GDP per capita at current prices is 18,587 US$ in 2024, and GDP per capita at purchasing power parity stands at 30,063 international dollars, underscoring a relatively high standard of living within its regional context. The economy remains open to trade and investment: exports of goods and services comprise 38.5% of GDP (2024) while imports account for 32.8%, indicating reliance on global markets for inputs and access to international goods. Foreign direct investment net inflows equal 5.53% of GDP in 2024, reflecting continued integration into global capital and technology networks and potential spillovers into productivity and innovation. The current account balance is modestly negative at -1.35% of GDP (2024), suggesting a balanced external position compatible with ongoing investment and consumption growth. Inflation is negative at -0.41% in 2024, a rare deflationary signal that can reflect weak domestic demand or price declines in tradable sectors; deflation can complicate debt servicing and wage negotiations but may also indicate price competitiveness if sustained. Research and development spending is 0.338% of GDP (2022), and high-technology exports reach about 2.81 billion USD (2023), with 15 resident patent applications (2021), pointing to a nascent but growing knowledge economy. Unemployment stands at 8.32% (2023), and poverty remains significant at 24.4% (2023), highlighting the need for inclusive growth policies and job creation, particularly in higher-productivity sectors. Taken together, Costa Rica’s economy is resilient, diversified, and open, yet it faces challenges in raising productivity, advancing innovation, and ensuring broad-based improvements in living standards.

Trade and Investment

External engagement is a defining feature of the Costa Rican economy. Exports of goods and services amount to 38.5% of GDP (2024), while imports are 32.8% of GDP, signaling a high degree of openness and integration into global value chains. Foreign direct investment nets inflows equal 5.53% of GDP in 2024, reinforcing the country’s role as a destination for capital, technology, and know-how that can boost productivity and employment. The current account deficit at -1.35% of GDP (2024) aligns with an outward-looking growth model that relies on continued capital inflows and external demand. The country’s logistics ecosystem is moderately advanced: the Logistics Performance Index for quality of trade and transport infrastructure stands at 2.7 out of 5 (2022), suggesting adequate but improvable efficiency in trade-related infrastructure. Costa Rica’s innovation metrics show room for growth: researchers and developers spent about 0.338% of GDP on R&D in 2022, while high-technology exports totaled roughly 2.81 billion USD in 2023 and residents filed 15 patent applications in 2021. Together, these indicators imply that while trade and investment are robust and diversified, further improvements in regulatory efficiency, intellectual property, and innovation would help sustain competitiveness in higher-value sectors and enable knowledge-based growth alongside traditional strengths like tourism and agribusiness.

Governance and Institutions

Costa Rica presents a distinctive governance model characterized by the near absence of a standing military expenditure (0 USD in 2023), reflecting decades of peaceful policy orientation and a commitment to social development. Political stability and absence of violence/terrorism are robust, with a score of 0.984 in 2023, signaling strong legitimacy and low external security risk. Regulatory quality stands at 0.544, and the rule of law at 0.389, indicating that while stability is high, there is still space to strengthen legal frameworks and enforcement to support predictable business environments and protect property rights. Control of corruption is 0.654, and government effectiveness is 0.26, suggesting tangible gains in governance exist but procedural efficiency and service delivery could be improved. Collectively, these indicators describe a country with lasting political stability and a strong commitment to public service, but with ongoing work to improve regulatory efficiency, rule of law, and bureaucratic effectiveness to support private-sector development and social programs more consistently. The absence of military spending and positive stability metrics also reflect an opportunity to direct public resources toward health, education, and environmental programs that underpin human development and resilience.

Infrastructure and Technology

Costa Rica demonstrates a solid foundation for a knowledge-driven and service-oriented economy. Internet adoption is high, with 85.4% of the population connected in 2023, enabling digital services, e-government, and e-commerce. The country is active in high-technology trade, with exports totaling about 2.81 billion USD in 2023, and resident patent activity at 15 filings in 2021, indicating ongoing but relatively modest domestic innovation. R&D intensity remains low at 0.338% of GDP in 2022, pointing to substantial headroom for expanding research capabilities and translating ideas into new products and processes. The health sector shows strong human capital by international standards, with 2.64 physicians per 1,000 people (2022) and 1.18 hospital beds per 1,000 (2021), alongside a respectable level of public health expenditure (7.18% of GDP in 2022). The Logistics Performance Index sits at 2.7 in 2022, reflecting competent, though improvable, trade and transport infrastructure. Taken together, Costa Rica’s infrastructure and technology profile combines broad digital connectivity and service-oriented capabilities with a need for greater investment in research, innovation ecosystems, and physical infrastructure to sustain rapid digital and productive transformation.

Environment and Sustainability

Environmental stewardship and sustainability are evident in several indicators, though challenges remain. Renewable energy consumption accounts for 34.2% of total final energy consumption in 2021, illustrating progress toward decarbonization though energy supply remains diversified beyond renewables in transport and industry. Per-capita greenhouse gas emissions excluding LULUCF are 3.23 t CO2e, indicating relatively low carbon intensity compared with many peers, but still representing ongoing emissions from energy use and land-use activities. The water-stress indicator, defined as freshwater withdrawal relative to available resources, is 5.88 in 2021, with a relatively high rank placement that points to stress in some basins and the importance of water-management policies, hydroelectric reliability, and conservation measures. Costa Rica’s environmental leadership is widely recognized, underpinned by a policy framework that favors biodiversity protection and renewable-energy development, yet the data here highlight continued work to expand renewable shares, reduce emissions intensity, and manage water resources more effectively as demand grows and climate pressures evolve. Overall, the environmental profile reflects a commitment to sustainability balanced against ongoing development pressures and resource management challenges that require integrated planning and investment.