A growth in inflation within the range of 2% to 4%, as well as an economic growth figure of 3.2%, (better than in 2018), are the official macroeconomic forecasts for this year.
These are some of the estimates contemplated by the Central Bank of Costa Rica in its 2019-2020 Macroeconomic Program, which was presented on Tuesday by Rodrigo Cubero, president of the Monetary Authority.
According to the report of the Program, the economic growth of 2019 will be driven by private consumption, reflecting the increase in confidence after the approval of the fiscal reform and the impact of the improvement in the terms of trade on disposable income, as well as government expense.
In addition, public investment is expected to pick up strongly this year, especially for projects such as the expansion of Route 32 and transport infrastructure works.
Cubero added that the fiscal projections show that the deficit of the central government, in relation to the GDP, will be 6.2% in 2019 and 5.8% in 2020. These estimates incorporate the assumption that it is approved. Eurobonds issue for $1.5 billion.
In terms of exchange, the Central Bank indicated that it will continue to participate in the market with three objectives: as an agent of the Non-Banking Public Sector, to meet its own requirements, and to avoid violent fluctuations in the exchange rate.
In terms of inflation, the hierarch explained that the target range is maintained, since the effects will be diluted over the next two years.
The Macroeconomic Program was approved unanimously by the board of directors in the January 25th session.