Despite all this, its development model is facing challenges. Even as it has combatted deforestation, Costa Rica’s emissions have increased rapidly in the last two decades and are projected to grow absent reforms to reduce them. The country also remains vulnerable to the effects of climate change, with 78 percent of the population considered high risk. In addition, inequality is high. Costa Rica is among the most unequal OECD countries in terms of income, with a GINI coefficient of 45.8 in 2024. This underscores the need to sustain a robust social compact, to protect social mobility and public trust in institutions. And despite continued investments in education, deficits in learning outcomes persist. In the 2022 OECD PISA test, Costa Rican students scored 415 points in reading, which was a decline of 11 percent from 2018 and below the OECD average of 476.
In the broader global context of increased migration and challenges in the international trade environment, it is crucial for Costa Rica to promote broad-based growth that includes all of its workforce across the country. Improving revenue mobilization and spending efficiency, especially in the infrastructure and social sectors, will be essential to tackling poverty and inequality, while also strengthening climate resilience, reducing emissions, and consolidating the sustainability of its development model.
Last Updated: Oct 6, 2025