As the high season approaches, all eyes are on whether visitor numbers will rebound or the slump will deepen. Costa Rica's tourism industry is facing a sharp downturn, with roughly 22,000 jobs lost in the past year. High travel costs post-pandemic and competition from other destinations like Panama and Colombia play a role. This drop hits hard in coastal and rural areas, where hotels and service businesses report fewer visitors and forced layoffs. Hotels point to several factors behind the slump. Most tourists cite crime and high prices. Some operators report a 20 percent drop in tourism-related work in places like Quepos and Nosara since late 2024. Business groups estimate arrivals could fall 15 to 20 percent by year's end if unchecked. Workers share stories of hardship. Data from the third quarter of 2025 shows employment in tourism fell from 189,093 people in 2024 to 166,923. Rising crime in some tourist spots deters travelers, especially from the United States, which sends the most visitors. This marks a loss of 22,170 jobs. This setback tests Costa Rica's model of eco-tourism and adventure. Yet local issues like exchange rates and infrastructure gaps make matters worse. Tourism supports more than 200,000 jobs nationwide, many in remote areas with few other options. Proposals include better roads (Costa Rica is known for some of the worst road conditions in the world), stronger safety measures (the crime is immense), and marketing to attract new routes and small businesses. Without recovery, these regions risk deeper poverty and migration to cities. Communities in Guanacaste and the Central Pacific depend on visitors for steady income. Reduced spending by foreigners totals $71 million less in the first half of 2025 than in 2024. A stronger colon against the dollar squeezes profits for businesses that rely on income in foreign currency. While European arrivals hold steady or even rise slightly, the overall dip from North America hurts. In February 2025, air arrivals totaled 270,810, down seven percent from the year before. Analysts tie the crisis to global shifts. One hotel association notes that bookings for 2025 lag behind expectations, prompting warnings of more cuts if trends continue. The impact spreads beyond numbers. Still, recovery demands quick steps to rebuild confidence among travelers. From January to July alone, the country saw 50,000 fewer international visitors. Arrivals also declined by 1.8 percent through October compared to the previous year. Government and industry leaders call for action. Local guides, restaurant staff, and transport workers feel the pinch first. In Manuel Antonio, resorts that once bustled now operate with skeleton crews. Partnerships with airlines seek to add flights from key markets. Security concerns add to the strain. The sector, a key part of the national economy, now raises questions about broader financial stability. The Costa Rica government tracks these changes closely. Costa Rica built its reputation on its natural beauty and hospitality. The currency loses value far too often and to raise it above the USD is absurd. A boutique hotel owner reports cutting staff by half, leaving families without steady pay. Now, leaders work to protect that edge amid tough times. Officials aim to boost promotion and ease regulations for new investments. Similar tales emerge from La Fortuna and Monteverde, where adventure tours see empty slots.
