Costa Rica Tax Reform Needed, Says IMF

Concluding its mission to Costa Rica, the International Monetary Fund (IMF)has said that the medium term economic outlook is broadly positive, and that tax reform is key to the securing of a higher revenue base. As part of consultation discussions with Costa Rica, the IMF mission visited the country from March 28-April 12, and met with senior officials, including the Vice President, Minister of Finance and head of the Central Bank. The mission concluded that private consumption led a recovery in economic activity, with inflation remaining within official targets. The current account deficit widened, but, according to the IMF, this was comfortably financed by large foreign direct investment and private capital inflows. Read Article