Costa Rica faces strong competition as destination for U.S. retirees
Costa Rica and Mexico have traditionally been the region’s preferred destinations for U.S. and Canadian retirees, but according to a report from the The Wall Street Journal, Panama, Belize and Nicaragua are increasingly competing with both countries.
The report says that the number of U.S. citizens who receive pension payments in Panama increased by 65 percent from 2006-2011. In Nicaragua, the number doubled during the same period, from 595 retirees to 1,322.
“These three countries offer packages of residency and breaks on taxes and fees that imitate Costa Rica’s pensionado program, which was introduced in 1971 and helped set the groundwork for a boom in retiree emigration from North America. Nicaragua added such a law in 2009, offering foreigners with retirement incomes tax breaks on everything from cars to construction materials,” the WSJ noted.
The story also describes how last year Panama created a path to citizenship for retirement residents and introduced a new residency program for people under retirement age that has lowered requirements for investment in property, business and other ventures.
Officials from Costa Rica’s National Tourism Chamber acknowledged the efforts of these three nations to attract retirees, but insisted that Costa Rica isn’t necessarily losing ground.
The WSJ report also noted that crime and security problems are still a major concern for people interested in relocating to the region.
“Security isn’t always adequate in the region. Mexico’s well-publicized drug war and escalating violence are starting to push Americans to look at new places for retirement, […] and Costa Rica’s petty crime such as theft and smash and grab muggings have increased in the past couple of years, along with home invasions,” added the story, also citing similar problems in all the other countries.
You may be interested
Costa Rica at a glance: top news from the past weekThe Tico Times - May 21, 2018
Newly inaugurated Costa Rican President Carlos Alvarado is closing in on two weeks on the job. Here are some of…
PHOTOS: International Museum Day in Costa RicaMitzi Stark - May 21, 2018
May 18 is International Museum Day, and Costa Rica celebrated with 31 mini-museums all in one at the Casa del…
Costa Rica, Panama refuse to acknowledge Venezuelan election resultsAFP - May 21, 2018
Costa Rica and Panama were two of 14 countries in the Americas to announce they would not acknowledge the results…