Allowances for loan losses at leading Costa Rican banks rose last year as the Central American nation grappled with the impact of the Covid-19 pandemic. The country’s economy shank 4.5% in 2020, contributing to a fiscal deficit at 8.7% of gross domestic product, according to the World Bank.
Banco Nacional de Costa Rica, the largest bank in the country by assets, has increased its year-on-year loan-loss provisions by 22.5%, from $206.7m in 2019 to $253.3m in 2020, according to The Banker Database.
