The Costa Rican commercial sector will try to create more than two thousand formal jobs by 2019. This figure is based on the hiring and investment expectations of the companies associated with the Costa Rican Chamber of Commerce.
According to the group, the sector continues to be the largest employment source in this country, with 258,000 workers, which represents 14% of the total workforce. It also contributes 19% of social security, which makes it the largest contributor.
During 2018 the sector had a growth of 1.6%, lower than the 3% growth in 2017. The slowdown is mainly explained by a loss of dynamism in the vehicle subsector, which went from growing exponentially in recent years, to registering a negative growth of up to 8% on a year-on-year variation in September.
In addition, other subsectors such as construction materials have grown very moderately (0.7%) as a result of the lag in the construction sector. One of the main aspects that affects the moderate growth of the sector is the decrease in consumption, as a result of uncertainty due to the fiscal situation, increases in interest rates and the exchange rate, as well as lower credit growth.
Additionally, the high percentage of unemployment, which stands at 10.2%, affects the performance of the sector.
As for the main dates for the trade sector such as Black Friday and Christmas, the sales growth reported by the associated businesses for Black Friday, ranges from 6% to 10% compared to last year. The products that stood out in their sales were electrical and household appliances such as televisions. For the Christmas season, businesses expect a sales growth of 13% on average.
Regarding the expectations for 2019, the Chamber of Commerce estimates a growth of 2.1% for the sector, mainly explained by the secondary effects of the approval of the Tax Reform, which will affect the decisions of household consumption. However, the Chamber urged the government to promote projects that reduce the size of the State, as well as reactivate the economy to generate employment.