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PROLATAMLATAM MARKET INTELLIGENCE

🇨🇷 Costa Rica · 2026 edition

Investing in San José

San José ranks 1 of 13 Latin American cities on the ProLatam Data Index with 53.4 of 100, and 2 of 13 on the ProLatam Score. Its strongest pillar is economic dynamism (76), its weakest is innovation (14). A foreign shareholder pays 40.50% in total on repatriated profit, under a territorial system.

ProLatam Data Index

53.4

Rank 1 of 13, balanced weighting

ProLatam Score

50.0

Rank 2 of 13, market-entry weighting

Strongest pillar

Economic Dynamism

76 of 100

Weakest pillar

Innovation

14 of 100

How San José scores on each pillar

Eight pillars, each normalized to 0 to 100 by a fixed published rule. A dash means the source does not cover San José, which is not the same as a zero. Coverage of the weighted index for this city is 100%.

Swipe the table sideways for the reported value, the weights and the source.

Pillar scores for San José, with the underlying value, the weight in each index and the source.
PillarScoreReported valueData IndexProLatamSource
Economic Dynamism76.3+4.1% avg 2025 to 202615%6%International Monetary FundApril 2026 · national
Rule of Law67.60.6815%15%World Justice Project2025 · national
Safety44.144.115%17%Numbeo2026 Mid-Year · city
Talent51.251.213%15%INSEAD and Portulans Institute2025 · national
Tax Competitiveness54.940.5% on repatriated profit, territorial13%15%PwCreviewed 2026 · national
English Proficiency58.4546 (Moderate)9%10%EF Education First2025 (15th edition) · city
Infrastructure47.52.90 / 510%9%World Bank2023 · national
Innovation13.7#388 global10%13%StartupBlink2025 · city

What a foreign shareholder pays in Costa Rica

Corporate income tax plus the standard non-treaty withholding on the dividend paid out of what is left, which is the figure that actually reaches an owner abroad.

Total on repatriated profit

40.50%

Corporate income tax

30.0%

Dividend withholding

15.0%

Standard non-treaty rate

Compliance hours per year

151

World Bank Paying Taxes, 2018 data

Costa Rica taxes on a territorial basis, so income sourced outside the country is generally outside the net, which matters a great deal to a holding structure. Territorial, with a carve-out for passive foreign income of non-qualified multinational entities. Free Trade Zone regime exempts income tax, VAT, import duties and withholding on payments abroad. Lowest compliance burden of the 13 cities at 151 hours a year.

Context, published but not scored

These shape a decision without belonging in the index. FDI inflows track the size of an economy rather than the appeal of a city, and a sovereign rating measures a government's ability to repay debt rather than a company's ability to operate.

GDP growth 2026

3.6%

IMF World Economic Outlook, national

FDI inflows

$5.1B

Inflows 2025 from BCCR and Procomer; ECLAC publishes no country line for Costa Rica in the 2026 edition.

Sovereign rating

BB (Stable)

Long-term foreign currency

English proficiency

546 (Moderate)

EF EPI city score, 1 to 800

Where Costa Rica has moved since 2021

The rule of law pillar is the only one of the eight with a series comparable across five editions, so it is the only place this profile shows a direction rather than a snapshot. Scores are national, 0 to 1, higher is better.

2021

0.677

2022

0.682

2023

0.682

2024

0.676

2025

0.676

Over the period Costa Rica held broadly steady, -0.001 points. A move under 0.005 is reported as flat rather than as a trend. Compare all 10 economies.

Sectors with a documented presence

Medical Devices

Medical device exports reached USD 10.8 bn in 2025, 31% of Costa Rica’s total exports and 25% above 2024.

Source

Corporate & Shared Services

CINDE attracted 19 new FDI projects and 48 reinvestments in 2025, 79% of them inside the Greater Metropolitan Area, with 196,310 people employed by multinationals.

Source

Where Costa Rica's inbound FDI comes from

National statistics, share of inbound foreign direct investment.

BCCR and Procomer, 2025 flows.

Citing the San José figures

Published under CC BY 4.0. Reuse is welcome, including commercially, with credit and a link.

Pro Latam. (2026). ProLatam Latin American City Investment Index 2026 (Version 2026.4) [Data set]. https://invest.pro-latam.org

Source: Pro Latam Investment Hub, ProLatam Data Index 2026 (https://invest.pro-latam.org). Updated 2026-09-04.

Full dataset: CSV or JSON.

Considering San José for a market entry?

Pro Latam has been placing international companies in Latin America since 2010. The ranking is the public part of the work, and the rest is the part that depends on what you are actually trying to build.