Exchange Control

Although there are no specific exchange controls in Costa Rica, currency received by resident corporations or individuals must be sold through a Costa Rican bank. Moreover, capital imported for investment purposes must be \'registered\' in order to ensure eventual problem-free repatriation.

Any enterprise taking advantage of one or more of the investment incentive regimes described above are free of these restrictions to some degree.

Offshore Activities

As there is no specifically designated offshore sector in Costa Rica, there are no restrictions on the kinds of activity that can be carried on by companies taking advantage of Costa Rica\'s low-tax regime.

The government has, though, placed restrictions on foreign investment in the state-owned monopolies of telecommunications, alcohol distilleries, insurance, newspapers, radio, television broadcasting, electricity and petroleum refining. Foreign participation is either forbidden or required to be a part of a joint venture with a Costa Rican majority shareholding partner in all of the aforementioned industries.

Local participation is also required in the case of beachfront development concessions. In this case, 50% of the capital must come from nationals and foreigners who wish to be joint partners must have lived in Costa Rica for at least 5 years.

Currency

Official name: Costa Rica Colon

Plural: colones

Currency code: CRC

Abbreviation: ₡

Legal tender in: Costa Rica

Subdivided into: 100 cents

Coins: 5, 10, 20, 25, 50, 100, 500 colones

Notes: 1000, 2000, 5000, 10 000 colones

Central bank: Central Bank of Costa Rica

Website: www.bccr.fi.cr

Current exchange rates:

• http://finance.yahoo.com/currency,

• http://www.xe.com, and

• http://www.oanda.com