Costa Rica has been awarded fDi’s Caribbean and Central American Country of the Future 2011/12. The Dominican Republic claimed second position followed by Trinidad and Tobago in third. Jacqueline Walls reports on the winners.

Costa Rica has climbed from second position to be ranked as the most attractive country in the Caribbean and Central America for foreign direct investment.

Costa Rica’s dominance in this year's ranking is no surprise given its successful record in attracting FDI into the country. According to fDi Markets, Costa Rica has been the number one destination country in the region in terms of FDI project numbers since 2003. Costa Rica attracted a total of 227 FDI projects between 2003 and 2010 compared with only 178 FDI projects investing in Panama, Costa Rica’s closest competitor in the region. However, the latest figures released by fDi Markets have shown that from January to May 2011, Panama has, so far, attracted more FDI projects than Costa Rica.

Costa Rica topped the category Best Human Resources, as well as ranking in the top two for Best Economic Potential, Best for Business Friendliness and Best FDI Strategy.

The Dominican Republic was ranked second overall in the biennial ranking of countries across the region. fDi ’s independent judging panel perceived the Dominican Republic to have the Best FDI Strategy.

Panama is one to watch

Despite only ranking in fifth position, fDi Markets has indicated that Panama is on its way to attract more FDI projects in 2011 than in 2010. As a result, Panama was awarded the title of the Best Caribbean and Central American Country of the Future for Economic Potential 2011/12. The country also topped the category for Best Infrastructure.

Trinidad and Tobago, and Barbados made an appearance in the top 10 Caribbean and Central American Countries of the future, ranking in third and fourth place, respectively. Trinidad and Tobago displayed strong Economic Potential, ranking fifth in this category, coupled with obtaining second position in the Cost Effectiveness category, whereas Barbados was placed in the top five of the categories: Best Human Resources, Best FDI Strategy and Best for Quality of Life.

Puerto Rico is business friendly

Other winners include El Salvador, ranked as the most cost-effective country in the region; British Virgin Islands, which knocked Turks and Casio off the top spot to rank as the country with the best quality of life; and Puerto Rico was awarded the title of the best country in the Caribbean and Central American region for Business Friendliness in the 2011/12 ranking.