Costa Rica’s Tourism Triumph: Record-Breaking Spending Post-Pandemic

In a dazzling comeback from the shadows of the COVID-19 pandemic, Costa Rica’s tourism sector is basking in the glory of a financial renaissance. The first nine months of 2023 have witnessed foreign tourists pouring a staggering $3.2 billion into the nation’s economy. This sum not only trumps 2019’s earnings but also nips at the heels of the total revenue amassed in 2022. The ripple effects of this boom are palpably resonating through the employment landscape, heralding an era of prosperity for the sector.

A Surge in Spending: Breaking Down the Numbers

This influx of tourist dollars in 2023 marks a historic recovery for the leisure and business tourism industry since the onset of the global health crisis. A total foreign travel expenditure of $3.239 billion includes $2.964 billion (91%) from leisure travel and $275 million from business trips, as per the Central Bank of Costa Rica (BCCR) data up to September 2023. This three-quarter figure of 2023 is a hair’s breadth away from eclipsing the entire 2022’s expenditure, pointing towards a potential year-end close at or above $4 billion.

The flow of foreign currency for the first nine months of 2023 outstripped the same period in 2019 by $257 million, underscoring a remarkable recovery. In 2023, Costa Rica welcomed 2.75 million tourists through various entry points, a slight dip from 2019’s 3.2 million but a notable resurgence nonetheless. Air travelers, who typically spend more, have exceeded 2019’s numbers, indicating a wealthier demographic gracing Costa Rican shores.

Diverse Entry Points, Varied Spending Patterns

The average spending per tourist in 2022 stood at $1,470, with distinctions based on the entry point into Costa Rica. Tourists arriving through Juan Santamaría and Daniel Oduber airports spent an average of $1,623 and $1,517, respectively, while those entering by land averaged $350, all figures surpassing 2019’s stats.

Business travel spending remained consistent at $275 million in both 2019 and 2023. However, leisure travel spending jumped from $2.707 billion in 2019 to $2.964 billion in 2023.

Employment and Tourist Stays: On the Upswing

Employment in tourism-related activities is also witnessing a post-pandemic high, with 175,000 people employed directly in the sector as of the third quarter of 2023, according to the Continuous Employment Survey by the National Institute of Statistics and Census (INEC). The average tourist stay in Costa Rica, particularly for air travelers, has increased, further boosting the sector’s revenue.

Local Perspectives and Future Prospects

Tadeo Morales Gómez of Arenal Tourism and Commerce Chamber and Canatur member attributes the uptick in tourism revenue to the influx of foreign tourists in 2023. Despite infrastructural challenges, destinations like La Fortuna in San Carlos have seen significant growth. However, the appreciation of the colón against the dollar poses a challenge to the full recovery of the sector.

Flora Ayub Dobles from the Costa Rican Chamber of Hotels notes an increase in the average stay of international tourists in 2023, albeit with a slight dip in per-tourist spending compared to 2021. The sector anticipates a continuation of this positive trend into 2024, with the ICT focusing on seven primary markets – the United States, Mexico, Canada, the United Kingdom, France, Spain, and Germany, which account for 80% of Costa Rica’s visitors.

A Bright Horizon for 2024

The Costa Rican tourism industry is poised for continued success in 2024. The ICT’s promotional strategies, including participation in international fairs, specialized adventure tourism events, and advertising campaigns, aim to attract more nature-loving and activity-seeking tourists. Notably, a partnership with Amazon will see Costa Rican tourism promoted in several U.S. cities, harnessing the power of streaming platforms and supermarket chains.

Hotel managers, like Alonso Bermúdez of Lagarta Lodge, remain optimistic about the upcoming high season and are implementing strategies to attract more clients. The industry’s resilience and adaptability shine through, promising a vibrant future for Costa Rica’s tourism sector.