Costa Rica Votes to Open Telecommunications Sector
Costa Rican Congress Approves 6th Law to Implement CAFTA
The General Telecommunications Law, which was the 6th bill in the agenda to implement the Free Trade Agreement with the United States, Central America and the Dominican Republic, was passed this morning in a 36-19 vote by the Costa Rica Legislative Assembly.
As predicted, the opponents of the bill sent the newly approved document to the Supreme Court to be revised for errors and unconstitutionalities. This process could take up to a month, which is exactlly what the opponents (who are mainly part of the Citizen’s Action Party aka PAC) want.
The Law will allow for the opening of the Telecommunications sector, which has been controled by the state-run Costa Rican Institute of Electricity (ICE). It will also establish regulations, taxes and create a governing entity for the industry.
The Free Trade Agreement was ratified by the general population in an October Referendum. However, opponents continue to fight against the treaty through protests and political stalling tactics. Costa Rica must now ask for an extention from the other nations in the treaty to allow them time to get approval for the remaining 6 bills.
| Written by Claire Saylor |  |
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Filed under: Travel on February 13th, 2008
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let´s hope cafta does not pass, its environmental and labor legislation is worse than that of NAFTA´s. And, the CAFTA agreement has not actually show that it will compete on a regional or global scale.
just another race to the bottom.
I just found your blog from the Costa Rica HQ blog. I had no idea that CAFTA was an actual proposition!
What do you think the purpose is behind all of these AFTAs? Is the idea to compete with the European Union?
I can see nothing good coming from this, from a Costa Rican perspective.
The upside for the country is a superbly improved job market. Costa Rica now has the Lowest Unemployment in all of Latin America, at about 6%. Average salaries here are good compared to the cost of living. With a higher income level for the general population, we can continue to see the poverty rate fall, as it has for the last years.
I agree environmental and some other legislations will need to be monitored. But to think the transnationals will enjoy free reign to destroy nature here is outlandish. The government well knows that tourism depends on environmental efforts, and will not stand for it.
This is just one element of Costa Rica’s new economic development strategy. It has promised to become the first carbon neutral nation of the world. Parallel to this effort is an aggressive campaign to enter new markets, including those of China and the European Union. Costa Rica has already begun negotiations with both entities.
I’m feeling quite confident Costa Rica’s economy and living standard will continue to improve as it has for decades.
[...] of the most controversial laws has been the telecommunications law that would open market open to competitors. The market is currently owned by state-monopoly ICE [...]