Why is the dollar losing value in Costa Rica?

A falling exchange rate means that those in the tourism industry that receive dollars have to use more of those dollars to pay for expenses in Colones. According to economists the drop is a result of several factors, one being a surplus of dollars in the country resulting in a lack of demand.



In early 2026, the U.S. Dollar (USD) has experienced a significant decline in value against the Costa Rican Colón (CRC), with exchange rates frequently dipping below 470 CRC per dollar. This trend is driven by a massive surplus of dollars within the Costa Rican economy, fueled by record-breaking tourism revenue and high levels of Foreign Direct Investment (FDI) in the technology and medical device sectors. Additionally, the Costa Rican Central Bank (BCCR) has maintained relatively high interest rates compared to the U.S., making the Colón a more attractive "carry trade" currency for investors. While a strong Colón is a sign of a robust local economy, it has created a "pricing crisis" for the tourism industry; many hotels and tour operators set their prices in dollars but pay their expenses in Colones. Consequently, travelers in 2026 find that their dollars "buy much less" than in previous years, leading to a significant increase in the effective cost of a vacation in Costa Rica.

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What is the best currency to take to Costa Rica? We suggest you take dollars, but if you can grab some colones at your bank, it will make the beginning of your trip much more manageable.

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How long will $100,000 last in Costa Rica? Depending on your lifestyle and expenses, $100,000 can last for several years in Costa Rica. With the affordable cost of living, you can live comfortably on a budget of $1,500 to $2,500 per month.

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A dinner meal such as a decent steak or fresh fish with a couple sides will cost around 5,000 colones (around $10). There are also restaurants that cater to tourists.

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Taxes on imported goods contribute to high prices. For example, Costa Rica has the 3rd most expensive rice in the world. Indeed, agricultural protectionism makes food prices high. These high tariffs (aranceles) and agricultural protectionism cause the high prices for groceries in Costa Rica.

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Affordable Day-to-Day Living in Costa Rica A single person can live on between $1,600 and $2,000 a month. Some single people scrape by on considerably less, and others spend hundreds of dollars more, depending on their lifestyle. Some retired couples live well on $2,000 per month and even better on $2,500 to $3,000.

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Cost of Living Comparison The average cost of living in Costa Rica is around 30% lower than in the United States. This means that you'll be able to stretch your budget much further in Costa Rica than in the U.S. and enjoy a higher quality of life for a much lower cost.

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Most restaurants will indicate impuestos incluidos (“taxes included”) somewhere on the bottom of their menus. You're free to add something extra if you think it's warranted, but if you calculate your tip as a percentage of the entire bill, you'll be tipping on the 23% already added for taxes and service.

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