Costa Rica: The Untapped Frontier in IT Nearshore Outsourcing

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The global business landscape is evolving at a rapid pace, and outsourcing continues to play a pivotal role in driving efficiency, reducing costs, and accessing global talent. While traditional outsourcing powerhouses like India and the Philippines remain prominent, Latin America is steadily rising as a key player in the outsourcing space, with Costa Rica emerging as a top business hub. Costa Rica’s stable political climate and highly skilled workforce have attracted many multinational companies looking to build nearshore tech centers. With specific expertise in Cloud Solutions, AI integration, and Data Analytics, the country offers both scalability and expertise, making it an ideal choice for companies undergoing digital transformation.

#1 exporter of high value-added services in Latin America

In this article, we explore Costa Rica’s meteoric rise as a tech hub, why it’s an attractive choice for IT outsourcing, and how Infinite Computer Solutions has leveraged its nearshore center in Costa Rica to fuel digital transformation for our global clients.

Key Advantages of a Nearshore Tech Hub

The Intellectual Hub: Costa Rica’s Talent Pool

Costa Rica’s strong higher education system is a key driver behind its growing tech industry. The country is home to prestigious universities and technical institutes that produce a steady stream of skilled graduates, particularly in the fields of engineering, computer science, and IT. Costa Rica boasts a well-educated workforce, with a 98% literacy rate and strong emphasis on STEM (Science, Technology, Engineering, and Mathematics) education. With over 60,000 graduates annually in areas such as engineering, data science, and software development, Costa Rica has an abundant pipeline of highly skilled professionals.

One of the major trends in the IT Services market in Costa Rica is the growing demand for software development services. The country has a large pool of software developers who are skilled in various programming languages such as Java, Python, and C++.

Another key advantage is the bilingual nature of the workforce, with many Costa Rican professionals fluent in both English and Spanish. This eliminates potential language barriers for our global clients, particularly those from English-speaking markets such as the United States. With a steady stream of highly educated professionals entering the IT workforce each year, Costa Rica is poised to support cutting-edge projects across a range of technology sectors.

Highest performance in TOEIC (Test of English for International Communication) & TOEFL (Test of English as a Foreign Language) in LATAM (ETS, 2020)

Stability: The Backbone of Business

Costa Rica’s political and economic stability is a cornerstone of its growing prominence in the tech industry. Known for being one of the most politically stable countries in Latin America, Costa Rica has no standing military and places heavy investment into healthcare, education, and infrastructure. The government’s pro-business stance, combined with a commitment to democracy and transparency, creates a favorable environment for foreign investment.

This political and economic consistency provides reassurance for multinational companies looking to invest long-term in their outsourcing operations. Costa Rica’s favorable business climate ensures that companies can establish a strong foundation for growth and innovation, free from the uncertainties that may accompany operations in less stable regions.

Globally recognized for its commitment to sustainability, Costa Rica is a green energy leader, running on 99% renewable energy.

Strategic Location: Costa Rica’s Time Zone Advantage

Geography plays a vital role in Costa Rica’s growing status as an outsourcing hub. Situated in the Central Time Zone (CST), Costa Rica offers U.S. companies the significant advantage of working within the same or similar business hours. This minimizes communication delays and enables real-time collaboration, which is essential in industries where rapid responses and agile development cycles are key.

Furthermore, Costa Rica’s proximity to the U.S. allows for shorter travel times for clients and business leaders who need to visit their outsourcing teams in person. This proximity strengthens the working relationships between onshore and nearshore teams, resulting in more cohesive project management and execution.

Building a Robust Digital Infrastructure

Costa Rica’s digital infrastructure is among the most advanced in Latin America. The government has been proactive in developing high-speed internet capabilities and modern telecommunications systems, providing the digital backbone needed for today’s tech-centric companies. The emphasis on infrastructure extends beyond just technology – Costa Rica is also a global leader in renewable energy. Nearly 100% of the country’s electricity is generated from renewable sources, ensuring a reliable and environmentally sustainable energy supply for businesses operating within its borders.

For IT and IT services companies, this strong digital infrastructure combined with a focus on sustainability offers a future-proof environment that supports long-term growth and innovation.

According to the Costa Rican Investment Promotion Agency (CINDE), IT service exports account for 7% of the country’s GDP, with more than 194 companies specializing in Corporate and Business Processes sector in Costa Rica.

Government Incentives: The Power of Free Trade Zones

Costa Rica’s commitment to fostering a thriving technology sector is reflected in its generous government incentives. The country’s Free Trade Zones (FTZs) provide significant tax benefits to foreign companies that establish operations within these designated areas. Benefits include reduced corporate income taxes, exemptions from customs duties, and other tax breaks that make Costa Rica an attractive and cost-efficient location for outsourcing operations.

This, coupled with the country’s focus on innovation and the development of technology parks, positions Costa Rica as a magnet for companies looking to expand their IT and service capabilities in a cost-effective manner.

Infinite Computer Solutions: Leveraging Costa Rica’s Potential

Recognizing Costa Rica’s vast potential, Infinite Computer Solutions has strategically established a nearshore center in the country. As a global leader in digital transformation, Infinite is committed to delivering top-tier services that drive growth and innovation for its clients worldwide. The Costa Rica center plays a crucial role in this mission, offering access to the country’s highly skilled workforce, advanced infrastructure, and strategic geographic advantages.

Infinite’s presence in Costa Rica is more than just about cost savings – it’s about leveraging the unique strengths of the region to deliver exceptional value to our clients. Infinite’s Costa Rica center supports multiple business lines including BFSI, Healthcare, Telecom, Media & Entertainment. This state-of-art facility currently has over 600 resources, and we are ready to scale to 1000+ resources in the coming year.

$5.7 billion in knowledge-intensive services

With its focus on innovation, sustainability, and government-backed incentives, Costa Rica offers IT and IT services companies an ideal environment to grow, thrive, and compete on a global scale. For businesses looking to leverage digital transformation in a fast-changing world, Costa Rica stands out as a clear choice for outsourcing success.

Conclusion

Costa Rica’s rise as a tech hub is underpinned by its commitment to education, political stability, and innovation. For IT and IT services companies, the country offers a compelling mix of skilled talent, strong infrastructure, and government support that makes it an attractive destination for outsourcing.

At Infinite Computer Solutions, we are proud to have recognized Costa Rica’s potential early on, and our nearshore center there continues to be a driving force in delivering top-tier digital transformation services to our clients. As the global demand for Digital, Data, Cloud, and AI services grows, Infinite’s Costa Rica nearshore center offers businesses an unbeatable combination of expertise, cost-effectiveness, and scalability.

Sources: International Monetary Fund (IMF) and TRADEMAP, 2021, Costa Rican Investment Promotion Agency (CINDE), Educational Testing Service, 2020

Author: Prerna Mehta

She is a seasoned marketing professional with over a decade of experience in B2B and B2C strategies across various industries including IT services & BPS. With a focus on driving digital innovation, she has worked with global firms to shape marketing strategies that deliver measurable growth. Her experience spans across creating impactful go-to-market plans, building brand narratives, and fostering client-centric solutions.

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