Costa Rica offers sustainable tourism, infrastructure, renewable energy, and industry opportunities. It also has a free trade agreement with the United States.
It is one of the smallest countries in the Central American isthmus, yet also one of the most unique: it has had no military since 1949, enjoys one of the most stable political environments in the region, and has become a leader in environmental conservation and energy transition. Today, more than 98% of its electricity comes from renewable sources such as wind, solar, biomass, and geothermal energy.
“More than 70 years ago, we took a political path where we decided to allocate taxpayers’ money to buy pencils instead of cannons, to hire teachers instead of generals, by abolishing the armed forces. That was a turning point that allowed us to invest in people, education, and healthcare,” Manuel Tovar, Costa Rica’s Minister of Foreign Trade, recently stated during his second official visit to Spain since taking office in 2022.
SICA Provides Access to a Regional Market of More Than 50 Million Consumers
In a world shaken by uncertainty and geopolitical turmoil, the stability of this Central American nation has made it an increasingly attractive destination for foreign businesses, including Spanish companies. According to data from Spain’s State Secretariat for Trade (SEC), exports from Spain to Costa Rica grew from €206 million in 2019 to €340 million in 2024. “A total of 3,011 Spanish companies exported to Costa Rica last year, making it the third-largest client in the region, after Panama and Guatemala,” the SEC reports.
However, the trade balance remains unfavorable for Spain—imports reached €465 million in 2024—indicating that despite growing interest, Costa Rica remains an untapped market for Spanish companies. “The country offers many investment opportunities in Costa Rica for Spanish businesses in various sectors,” says Antonio Bonet, president of the Spanish Exporters and Investors Club. “Strengthening trade ties and identifying new export and investment opportunities in Costa Rica could be key to balancing the trade deficit and expanding our presence in this market,” he adds.
Key Sectors
Bonet identifies the tourism sector as a key area where hotel growth and a focus on sustainable tourism “open up possibilities for supplying equipment and specialized services.” Another area with investment potential is infrastructure, including road, rail, healthcare, and wastewater treatment projects. “Additionally, in telecommunications and information technology, there are opportunities for tech consulting and digital services,” he notes.
Costa Rica’s Minister of Foreign Trade also highlights “the country’s thriving medical manufacturing sector, agribusiness, renewable energy, and free trade zones,” where eleven Spanish companies—ranging from large corporations to SMEs—are currently operating in sectors such as logistics services, IT, marketing, agribusiness, and medical device manufacturing. Tovar explains that this special regime offers significant tax incentives, including tax exemptions, and serves as a gateway to the U.S. market through the DR-CAFTA free trade agreement.
Another significant advantage for Spanish businesses is Costa Rica’s Central American Integration System (SICA) membership. This customs union “provides investors with preferential access to a regional market of over 50 million consumers, facilitating business expansion and product distribution throughout Central America,” highlights Narciso Casado, director of Iberian-American relations at the Spanish Confederation of Business Organizations (CEOE) and permanent secretary of the Council of Ibero-American Businessmen (CEIB).
Additionally, trade relations between Spain and Costa Rica are governed by the EU-Central America Association Agreement, which eliminated tariff barriers between the two regions. According to the SEC, since the agreement was enacted in 2013, Costa Rica’s exports to Spain have grown at an average annual rate of 14.7%. Furthermore, Spanish companies benefit from the bilateral Double Taxation Agreement (DTA), which has been in force since 2010. These factors continue to enhance investment opportunities in Costa Rica, making the country an attractive destination for businesses looking to expand in the region.
A Demanding Market
According to the SEC, about 100 Spanish companies are established in Costa Rica. One is Futureco Bioscience, an SME based in Olèrdola, near Barcelona, with an annual turnover of between €15 million and €20 million. The company specializes in manufacturing biological products for agriculture and focuses on technological innovation. Since starting operations in Costa Rica in 2014, its sales have tripled.
“In addition to our direct growth in the country, our presence here has allowed us to reach and coordinate commercial actions in other regional markets, such as Nicaragua, Panama, and the Dominican Republic, expanding our footprint in Central America and the Caribbean,” company representatives explain. However, they emphasize that the Costa Rican market has stringent regulatory requirements despite its great potential. “It’s not enough to introduce a product; companies must be willing to invest time in consolidating their presence,” they stress.
A Commitment to Advanced Manufacturing
Medical Devices
Minister Tovar noted during his recent visit to Spain that Costa Rica “has focused in recent years on diversifying its value proposition abroad.” He pointed out that when the EU-Central America Association Agreement was enacted, the country was primarily an agricultural exporter, focusing on products such as bananas, pineapples, and coffee. However, “almost 50% of our European exports now consist of medical devices.”
“Industry is another key sector offering investment opportunities in Costa Rica for Spanish investors,” Tovar stated. Costa Rica has become a hub for advanced manufacturing. Several major medical technology firms operate in the country, such as Edwards Lifesciences and Boston Scientific. Moreover, following the approval of the CHIPS Act in the United States in 2022, the U.S. government selected Costa Rica to be integrated into the semiconductor supply chain, reducing reliance on Asia for chip production.
Conclusion
Costa Rica presents a dynamic landscape for foreign investment, offering a stable political environment, strong economic ties with key global markets, and robust sectors such as renewable energy, medical manufacturing, infrastructure, and technology. With its free trade agreements, integration into regional economic frameworks, and strategic location as a gateway to Central America, the country attracts businesses looking for expansion opportunities. Investment opportunities in Costa Rica are abundant, particularly for companies willing to navigate the regulatory landscape and capitalize on the nation’s commitment to innovation, sustainability, and economic growth.