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San José, Costa Rica, Wednesday, Jan. 19, 2011, Vol. 11, No. 13 |
Costa Rica Expertise Ltd http://crexpertise.com E-mail info@crexpertise.com Tel:506-256-8585 Fax:506-256-7575 |
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up a few cents a liter By the A.M. Costa Rica staff
Gasoline is going up again, the Authoridad Reguladora de Servicios Públicos said Tuesday. Super goes up seven colons a liter, and plus gasoline goes up 17 colons. Diesel has only a minimal increase of two colons. Aviation gasoline is increasing 12 colons a liter. Expats still have a chance to fill up because the effective date of the new prices is calculated to be midnight Tuesday. The Authoridad said it made its monthly adjustment based on the economic situation in mid-December, including a colon-dollar exchange rate of 507.5. The rate is now 498.5, meaning the colon is stronger. In terms of U.S. gallon prices, super will be $4.62, plus will be $4.48 and diesel will be $4. Aviation gasoline will be $5.77 Postal service to promote stamp collecting hobby By the A.M. Costa Rica staff
Correos de Costa Rica is offering youngsters and adults the chance to learn about stamp collecting. The country's postal service has set up two workshops in conjunction with its Museo Filatélico de Correos de Costa Rica. The basic course begins Tuesday and runs for three days from 9 a.m. to noon for children and from 1 to 4 p.m. for adults. An intermediate course begins Feb. 1 and also runs for three days at the same times. Each course costs 4,000 colons, about $8. January and early February are times when public school youngsters are on vacation, so many agencies and museums offer courses then. Insurance firm purchases document handling system By the A.M. Costa Rica staff
The Instituto Nacional de Seguros, the former insurance monopoly, has purchased a business process management system. Purchasing the AuraPortal platform will allow the company known as INS to automate and optimize the way its departments function internally, as well as its customer relations, turning INS into one of the most advanced companies worldwide in business process automation and optimization, said a release from the provider, AURA, known as AuraPortal. No price was given for the contract. Within the last years, the National Insurance Institute has developed several initiatives in order to modernize its technological infrastructure and thus satisfy its demanding customers, the provider said. One of these, the so-called electronic customer record, must work together with three key processes, such as assurance, data modification and claims, the provider said. Technically, this is a major challenge, given that the Institute´s wide technological platform needs to be able to communicate with a unique platform that gives the 2,500 employees all over the country, information on more than a million customers, said AURA. The new system will let an INS employee see all a customer's documents, including scanned paperwork with just a click, said the Boston, Massachusetts-based provider. Our reader's opinion
Value-added tax proposalis like school yard game Dear A.M. Costa Rica: The executive branch has sent a tax proposal to the congress because the government is spending much more than it is taking in as revenue, and excessive borrowing to cover the shortfall is dangerous, for the country’s reputation as a good borrower would be on the line. The executive’s proposal appears to be madness. Were it to pass as proposed, businesses of all kinds would close, no longer being able to find customers willing to pay the outrageous increase in taxes, resulting in the shrinking of the tax base, resulting in less total revenue. The shortfall problem just got worse. Those businesses that remain open will do a lot of cash and receipt-less business. People have to survive economically, and getting around onerous and/or stupid government rules is one of the first things used as a survival tactic. The Costa Rican congress — La Asamblea — which, by the way, enjoys the lower respect ratings of all the government institutions, as reflected in the public opinion polls, implying that it is composed primarily of crooks and idiots, and what few truly honest and intelligent members of congress that are found there are completely neutralized by the others. If you think this is an exaggeration, just look at the history of the passing of the traffic law, which going back to the Asamblea for the SECOND time for revamping. Third time is supposed to be a charm for getting something that makes senses. This tax proposal is a combination of reform and a new big tax. It is a sales tax of 13 percent bumped up to14 percent, and is a value added tax of 14 percent on things not taxed before, like electricity, water, medical services and private education. The tax exemption part is taking a hit as well. From a couple of hundred tax exempted articles in the canasta básica or the basic cost of living items, the number is reduced to 30, in other words, there will a sales tax on these no-longer-exempted products. Real estate brokers will have a tough time making sales with the proposed 3 percent property transfer tax; that's a $30,000 tax on a million dollar transaction. Real estate development in the country just took a step backwards. Before we get too worried that more insanity comes out of the congress, we realize that a game is being played, like children in the school yard. One group asks for the preposterous, the crazy, knowing they won’t get it, but they will get something because the children opposing what they want will feel so proud of themselves for saying “no” that they will give the other side something. Like most governments around the world where budget deficits constitute a major problem, Costa Rica is no exception, but in my view there will be little public sentiment in favor of a tax increase. To give the government more firewood to keep the public fires burning when there is such waste and inefficiency now, is asking a lot from the taxpayer. I predict as a huge opposition to this tax bill, until there are real signs the government is willing to clean up their poorly run administration, and begins to do so. Walter Fila
Ciudad Colón
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San
José,
Costa Rica, Wednesday, Jan. 19, 2011, Vol. 11, No. 13 |
Casa Presidencial photo
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President Laura Chinchilla
Miranda discusses the cell telephone concessions and the new telecom
fund at a signing ceremony Tuesday at Casa Presidencial. |
Cell phone windfall to be used for universal Internet access |
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By the A.M. Costa Rica staff
Although the two cell telephone companies that have decided to set up shop here have invested $170 million for the right to do so, the cash-strapped central government will not see any of the money. According to the law, the money goes to the Fondo Nacional de las Telecomunicaciones, a new agency that is designed to reduce the digital divide and guarantee access to the Internet. Casa Presidencial said that the fund will help hook up schools and medical clinics. Like with many Costa Rican laws, the telecommunication measure allocated the funds outside the general treasury. President Laura Chinchilla signed the decree Tuesday that awards cell telephone concessions to the two firms, Claro of México and Telefónica from Spain. Now the measure has to be approved by the budget watchdog, the Contraloría General de la República. Central government officials are not expecting any trouble and praised the process of awarding the frequencies for its technical rigor and transparency. The Cámera de Tecnologias de Información y Comunicación also praised the concession award. It said the telecom fund would use the money to make Costa Rica a truly green and intelligent digital society. |
Casa Presidencial said that the
telecom fund would use the resources
for specific projects in infrastrcuture, connectivity, health,
education and public access with an emphasis on vulnerable populations.
It said details would come later. In addition the telecom fund will work with a national project to expand the Internet band that Casa Presidencial said would be announced in the coming weeks. The idea for the project is to put Costa Rica at the head of the more advanced nations in digital connectivity, it said. The project seemed to have the trappings of social work because Casa Presidencial said that the objective is to reduce the social digital divide to guarantee that the citizenry has access to digital tools. Another goal is to improve the competitivty of the productive sector, it said. The cell phone concessions stem from the Costa Rican-U.S. Free Trade Treaty. Also under that treaty, private firms began offering Internet service, both wired and wireless. The telecom fund appears to be going into competition with these private firms. A.M. Costa Rica has reported that one problem with providing universal Internet access is that service personnel and installers are robbed when they try to do their work in some of the rougher neighborhoods. In addition, customers with wireless systems there are clear targets for burglars seeking computers. |
Tax plan to be published digitally as lawmakers dump paper |
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By the A.M. Costa Rica staff
The central government's new tax plan is generating rumbles in political circles, but most are prepared to wait to see the actual law before passing judgment. The Asamblea Legislativa has set up a place for the law, No. 17.959, on its Web site, but the space is empty. The measure is expected to be published in the La Gaceta shortly. But it will not be on paper. The legislature and the Imprenta Nacional agreed Tuesday to publish all proposed laws, approved laws and some other documents only in digital form on the public printer's Web site. The legislative spokespersons said that this will represent a large savings of money for that branch of the government because it will not be buying paper that will end up as trash. The Imprenta Nacional has agreed to reduce the per line charge by 50 percent for publishing public documents only on the Web page. The Imprenta publishes the Gaceta, which comes out each workday in both paper and digital editions. |
Among the first proposed laws that
will be made public under this system is the Chinchilla administration
tax plan. The new proposal got the green light from the nation's lawyer, the Procuraduría General de la República, and takes advantage of the digital signature bill that can validate Internet documents. Lawmakers spent 216 billion colons in 2009 on required legal printing in the Gaceta, a summary said. Mario Zamora, a vice minister in Gobernación, Policía y Seguridad Pública, said the new technology will provide better access for citizens. That ministry supervised the printing operation. The legislature now joins many other organizations that are moving away from the printed page in order to save on the increasing cost of paper. In addition, documents on the Internet can be searched and located a number of ways. The legislature maintains the Web and provides periodic updates of the text of proposed laws as they move through the legislative process. Under the country's laws, proposed legislation has to be published when it is proposed officially and again after it is approved. |
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San
José,
Costa Rica, Wednesday, Jan. 19, 2011, Vol. 11, No. 13 |
World Bank says developing countries
promote recovery |
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Special to A.M. Costa Rica
The world economy is moving from a post-crisis bounce-back phase of the recovery to slower but still solid growth this year and next, with developing countries contributing almost half of global growth, says the World Bank’s latest Global Economic Prospects 2011. The World Bank estimates that global gross domestic product, which expanded by 3.9 percent in 2010, will slow to 3.3 percent in 2011, before it reaches 3.6 percent in 2012. Developing countries are expected to grow 7 percent in 2010, 6 percent in 2011 and 6.1 percent in 2012. They will continue to outstrip growth in high-income countries, which is projected at 2.8 percent in 2010, 2.4 percent in 2011 and 2.7 percent in 2012. The Latin America and Caribbean region has emerged from the global crisis well compared with its own past performance and the pace of recovery in other regions, the World Bank said. After contracting by 2.2 percent in 2009, gross domestic product is estimated to have expanded 5.7 percent in 2010, similar to the average growth recorded during the 2004-2007 boom years, it added. Growth is forecast to slow somewhat to around 4 percent in 2011 and 2012, largely because of a weaker external environment as growth in advanced economies and China moderates. Several countries in the region have been subject to potentially destabilizing capital inflows that have contributed to strong upward pressure on some currencies, it noted. In most developing countries, gross domestic product has regained levels that would have prevailed had there been no boom-bust cycle, said the World Bank. While steady growth is projected through 2012, the recovery in several economies in emerging Europe and Central Asia and in some high-income countries is tentative. Without corrective domestic policies, high household debt and unemployment, and weak housing and banking sectors are likely to mute the recovery. “On the upside, strong developing-country domestic demand growth is leading the world economy, yet |
persistent
financial sector problems in some high-income countries are still a threat to growth and require urgent policy actions,” said Justin Yifu Lin, the World Bank’s chief economist and senior vice president for development economics. Net international equity and bond flows to developing countries rose sharply in 2010, rising by 42 percent and 30 percent respectively, with nine countries receiving the bulk of the increase in inflows. Foreign direct investment to developing countries rose a more modest 16 percent in 2010, reaching $410 billion after falling 40 percent in 2009. An important part of the rebound is due to rising South-South investments, particularly originating in Asia. “The pickup in international capital flows reinforced the recovery in most developing countries,” said Hans Timmer, director of development prospects at the World Bank. “However, heavy inflows to certain big middle-income economies may carry risks and threaten medium-term recovery, especially if currency values rise suddenly or if asset bubbles emerge.” Most low-income countries saw trade gains in 2010 and, overall, their gross domestic product rose 5.3 percent in 2010, according to the report. This was supported by a pick-up in commodity prices, and to a lesser extent in remittances and tourism. Their prospects are projected to strengthen even more, with growth of 6.5 percent in both 2011 and 2012, respectively. According to the report, current relatively high food prices are having a mixed impact. In many economies, dollar depreciation, improved local conditions, and rising prices for goods and services means that the real price of food has not risen as much as the U.S. dollar price of internationally traded food commodities. “However, double-digit price increases of key staples in the past few months are pressuring households in countries with an already-existing high burden of poverty and malnutrition. And, if global food prices rise further along with other key commodities, a repeat of the conditions in 2008 cannot be excluded,” cautioned Andrew Burns, manager of global macroeconomics in the World Bank’s Prospects Group. |
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San
José,
Costa Rica, Wednesday, Jan. 19, 2011, Vol. 11, No. 13 |
Ex-dictator faces charges for his regime in Haiti By the A.M. Costa Rica wire services
Authorities in Haiti have charged former dictator Jean-Claude Duvalier with corruption, theft and misappropriation of funds two days after he made an unexpected return to his homeland after 25 years in exile in France. Duvalier, who was not wearing handcuffs, waved to a crowd that had assembled outside the Hotel Karibe as police led him to a waiting car Tuesday. Human rights groups, such as Amnesty International and Human Rights Watch, are urging Haitian authorities to prosecute Duvalier for abuses committed during his 15-year rule, which ended with a popular uprising in 1986. Rupert Colville, a spokesman for the U.N. High Commissioner for Human Rights, told reporters in Geneva Tuesday that Duvalier's surprise return to Haiti brings up issues of accountability and impunity. "It's not clear if Haiti is in a position to arrest and charge Jean-Claude Duvalier for anything at this point, but it's something we are looking into right now," he said. Colville said it is conceivable that charges could be filed. "There are major issues surrounding him such as considerable range of human rights abuses that took place in Haiti during the 15 years he was in power, especially by the Tontons Macoutes, also, of course, other issues such as corruption," he said. Duvalier, known as "Baby Doc," assumed power in 1971 at the age of 19, upon the death of his father, Francois "Papa Doc" Duvalier. The elder Duvalier was elected president in 1957 and later declared himself president for life. The regime of both Duvaliers was characterized by repression and the use of a paramilitary force known as the Tontons Macoutes, which brutally cracked down on the Haitian people. In recent years, the World Bank has commended Haitian and Swiss officials for their attempts to recover about $6 million in allegedly stolen assets that are held by the Duvalier family in Swiss banks. Authorities say those assets have been frozen since 1986. Duvalier has not publicly explained his reasons for returning to his homeland after nearly 25 years in exile. He had been expected to hold a news conference Tuesday. U.S. State Department Spokesman P.J. Crowley told reporters in Washington that the United States did not know about Duvalier's return in advance. Crowley said the French government first notified U.S. officials about an hour before Duvalier's plane landed in Port-au-Prince Sunday. Crowley called Duvalier's return "one more complication" in an already challenging situation. "If I look at the list of challenges that Haiti faces today, having a former dictator return to Haiti just adds to Haiti's ongoing burden. But, as to his status in the country and what happens, this is a matter for the government of Haiti and the people of Haiti," he said. Crowley said he understood that Duvalier was meeting with Haitian government and legal officials Tuesday afternoon. Speaking in broad terms, White House Spokesman Robert Gibbs told reporters that current or former political actors should not be focused on themselves, but on the best outcome for the Haitian people. Duvalier's return comes at a time of turmoil in Haiti. The country is contending with November's disputed elections, last January's massive earthquake that ravaged the capital and killed more than 200,000 people, and an ongoing cholera epidemic that has claimed more than 3,000 lives. |
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San
José,
Costa Rica, Wednesday, Jan. 19, 2011, Vol. 11, No. 13 |
Latin American news Please reload page if feed does not appear promptly |
Restrictions
at autopista will last until Thursday By the A.M. Costa Rica staff
The transport ministry has closed all but two lanes of the Autopista General Cañas at the Río Virilla bridge to allow work on repair to continue. Workmen are pouring concrete and tearing out old concrete at the bridge. The road will be restricted until 6 a.m. Thursday, said the ministry. This is the point where there has been a major traffic jam most of the daytimes as workmen tore out concrete and made repairs on the interior two lanes of the bridge. Traffic police have been trying to keep three lanes open, but with the new work on other lanes, only one lane will be open in either direction, said the ministry. This is the famous platina bridge, so named because of the piece of steel that resisted all efforts to tack it down. The metal was over a bridge expansion joint, and it moved around so much that it caused motorists to slow down. There were a number of jokes, videos and other attempts at humor about the bridge, all of which was an embarrassment to the transport ministry. Robbery-murder nets teen 15 years in prison By the A.M. Costa Rica staff
A 17 year old got 15 years in prison Tuesday for the robbery-murder of 19-year-old Rigoberto Montero Umaña Jan. 18, 2009 in Escazú. The 17 year old was not identified by the Poder Judicial. The sentence came in the Juzgado Penal Juvenil de San José. The murder happened about 6:30 p.m. when Montero, a high school student, put up resistance when two men tried to steal his cell telephone. He was shot in the neck and died after some time in a hospital. The youth faced a charge of murder in the commission of a crime. The sentence will be reviewed and a reduction is likely. Marijuana craft crewmen give patrol boats the slip By the A.M. Costa Rica staff
The U.S. Coast Guard chased a fishing boat loaded with marijuana into Costa Rican territorial waters in the Caribbean, but the fleeing crew was able to dock the boat and flee before Costa Rican Guardacoastas caught up with them. The security ministry said that the cargo of the boat was known because the crew started dumping marijuana into the sea when they saw the U.S. Coast Guard boat approaching. The origin of the marijuana was not known. Typically seagoing smugglers move cocaine. That the smugglers docked at Matina suggests that they might be local. Boats of the Servicio Nacional de Guardacostas participated in the attempted interception. They were from the stations at Barra del Colorado, Limón and Aguadulce. |
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