Facing the Threats to Costa Rica’s Value Proposition in Tourism is Key to Protecting Our Future and Collective Well-being.

In a recent article published in La Nación, Víctor Umaña, Executive Director of the CET, reflects on the pillars that have defined Costa Rica as a unique and successful nation on the global stage, and the challenges they now face. From peace and democracy to environmental protection and access to health and education, these values are at risk without immediate action.

We invite you to read this in-depth analysis of Costa Rica’s value proposition and explore how to protect it for future generations. Find the full article below. (Credit: La Nación)

Costa Rica has established itself as a premier tourist destination thanks to a unique value proposition that combines fundamental elements for an exceptional visitor experience. These include a safe environment backed by its historical commitment to peace, a stable democratic framework ensuring predictability, a robust rule of law protecting both locals and visitors, an extraordinary dedication to nature conservation safeguarding over 25% of its territory, and a health and education system that has cultivated a skilled workforce for tourism. However, as Víctor Umaña highlights, growing threats to these critical pillars may not only affect the well-being of Costa Ricans but also hinder the country’s ability to maintain its position as a leader in nature and adventure tourism.

Threats to Costa Rica’s Value Proposition

By Víctor Umaña, Economist

Throughout its history, Costa Rica has built a unique value proposition based on sound political decisions that have maximized its attributes and values. This has allowed the country to strategically differentiate itself on the global stage, diversify its exports, attract foreign investment, and position itself as a leader in nature and adventure tourism. More importantly, this value proposition has a profound impact on Costa Ricans by defining the environment where they live, work, and realize their potential. This value is reflected not only in abstract advantages such as political stability or international prestige but also in tangible benefits that impact daily life and collective opportunities.

This proposition rests on five key pillars: peace and security, democracy, the rule of law, environmental protection and conservation, and health and education. These pillars not only complement each other but also interact and strengthen one another.

Costa Rica’s peaceful identity has been one of its most distinctive traits. In a historically turbulent region, the country made extraordinary decisions, such as abolishing its military in 1948, establishing a civilian police force, and relying on an independent judicial system. These decisions laid the foundation for political and social stability, which for decades has been an invaluable asset that has enabled investments in social progress determinants such as education and health.

Costa Rica is the second-oldest democracy in the Americas. Since the foundation of the Second Republic in 1949, it has maintained an exemplary trajectory of power alternation and citizen participation, strengthening governance and cementing trust in its institutions.

The rule of law, understood as the subordination of all individuals and institutions to the law, has guaranteed justice, equality, and a safe environment for economic and social activity. This principle has been key to the country’s stability and its reputation as a predictable place to live and invest.

In health and education, Costa Rica has been a model. The creation of the Costa Rican Social Security Fund (CCSS) established a universal healthcare system, ensuring access to medical services for the entire population. Simultaneously, from its early years of independence, the country prioritized education as a development driver, first by establishing a primary education system and later by declaring education free and mandatory.

Lastly, environmental protection and conservation have been a hallmark of Costa Rica. The country has led innovative environmental initiatives, protecting over 25% of its territory under conservation schemes and advancing towards a sustainable development model that combines renewable energy generation with the promotion of responsible tourism. Costa Rica is one of the few countries in the world that has successfully reversed deforestation, significantly increasing forest coverage.

However, the pillars of this value proposition are not immutable. In recent years, concerning signs of deterioration have emerged, threatening these elements. One of the most evident problems is the sustained rise in homicides and violence linked to drug trafficking and organized crime. This phenomenon risks undermining Costa Rica’s reputation as a safe country, affecting not only citizens’ quality of life but also key sectors such as tourism and investment. Violence is not limited to the streets; in the virtual realm, hate speech and polarization on social media have fractured the social fabric, eroding trust between citizens and institutions.

Costa Rica’s democracy, one of the most prominent pillars of its value proposition, faces challenges reflecting a troubling decline in public trust. According to the latest Latinobarómetro 2023 report, only 18.9% of Costa Ricans are “very satisfied” with the functioning of democracy, while 40.2% are “not very satisfied,” and 15.3% are “not satisfied at all.” Moreover, 40% of respondents disagree with the assertion that democracy solves the country’s problems, and 4% strongly disagree. These figures highlight a growing perception that democratic institutions are ineffective in addressing citizens’ needs and solving major national challenges. While democracy remains valued as a desirable political system, its legitimacy is at risk unless this disconnect between public expectations and tangible outcomes is addressed.

Attacks on institutions responsible for justice administration and oversight hinder their modernization and strengthening, raising suspicions that erode trust among both citizens and investors. While constructive criticism is necessary to promote improvements and maintain transparency, unwarranted disparagement undermines perceptions of integrity and stability. These institutions are essential pillars of Costa Rica’s rule of law and value proposition, ensuring a predictable environment for social coexistence and economic development.

Recent events, such as granting logging permits in protected areas and covert attempts to weaken environmental protection institutions, suggest a regression in environmental matters. Recurrent issues like river and ocean pollution, transport emissions, fossil fuel-based electricity generation, and the lack of clear climate change adaptation policies further endanger this essential pillar of the value proposition.

Reports from the State of the Nation Program highlight serious challenges in Costa Rica’s public health and education systems. In healthcare, long waiting lists for consultations and procedures, alongside a shortage of specialists and medications, affect the quality and timeliness of services provided by the CCSS. In education, persistent inequalities between public and private institutions, especially in rural areas, are exacerbated by shortcomings in infrastructure, technology, and teaching resources. These gaps highlight the urgent need for actions to ensure equity and efficiency in two fundamental pillars of Costa Rican well-being.

The deterioration of Costa Rica’s value proposition is a reality we cannot ignore. The country stands at a crossroads, demanding not just reflection but firm and decisive action. Modernizing institutions, strengthening the social pact, and renewing the commitment to democracy are essential. At the same time, sustainable policies must be designed to address present needs without compromising the future. For these actions to be truly sustainable, current generations must tangibly experience their benefits, understanding that protecting what makes Costa Rica unique is the foundation for building a more equitable and prosperous future.

Conectarse con la pureza de Costa Rica 🌿💧 Un momento de tranquilidad en aguas cristalinas, donde la naturaleza y la serenidad se encuentran. #PuraVida #DiscoverCostaRica

Published in La Nación, November 28, 2024.

Read the full article here.