Political risk is a critical factor in nearshore site selection. Costa Rica’s exceptional stability record, transparent legal system, and pro-investment government policies make it one of the lowest-risk operating environments in Latin America.
73 Years of Uninterrupted Democracy
Costa Rica abolished its military in 1949 and has maintained continuous democratic governance ever since — one of the longest unbroken democratic records in the Western Hemisphere. Political transitions are peaceful and institutional.
Rule of Law & Contract Enforcement
Costa Rica consistently ranks in the top quartile globally for rule of law, judicial independence, and contract enforcement. Foreign companies have strong legal recourse through an independent judiciary and arbitration mechanisms.
Investment-Friendly Policy Framework
CINDE (Costa Rican Investment Promotion Agency) operates under a mandate to actively facilitate foreign direct investment. The agency provides concierge services for qualifying investors including site selection, regulatory navigation, and workforce recruitment support.
World Bank Rankings
Costa Rica consistently places among the top 3 in Latin America in the World Bank’s governance indicators for political stability, government effectiveness, and regulatory quality.