Costa Rica : Staff Report for the 2009 Article IV Consultation and First Review Under the Stand-By Arrangement; Press Release and Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Costa Rica

Costa Rica's economy has been hit hard by the global crisis, but active policies have helped preserve stability and mitigate the negative impact on growth. This 2009 Article IV Consultation highlights that despite the worsening of economic activity, the banking sector has remained sound. Although the nonperforming loan ratio of banks has risen moderately and profitability declined in the first half of 2009, liquidity and solvency indicators remained adequate. Fiscal policy has provided significant support to domestic demand.