Costa Rica Fiscal Management Improvement Project

Abstract*

The development objective of Fiscal Management Improvement Project for Costa Rica is to improve efficiency, effectiveness and client orientation of tax and customs administration, and public expenditure management. This project has five components. 1) The first component, Strengthening public expenditure management, has the following subcomponents: (i) Strengthening expenditure policy and planning; (ii) Streamlining and control of public expenditure... Show More

Development Objective

The Project Development Objective (PDO) is to improve efficiency, effectiveness and client orientation of tax and customs administration, and public expenditure management.

Key Details

Project Details

Project ID
P172352
Status
Active
Team Leader
Jose Gutierrez Ossio
Borrower 2
Republic of Costa Rica

Country
Costa Rica
Disclosure Date
November 11, 2019
Approval Date
(as of board presentation)
March 26, 2020
Effective Date
December 18, 2020

Total Project Cost 1
US$ 153.00 million
Implementing Agency
Ministry of Finance
Region
Latin America and Caribbean
Fiscal Year 3
2020

Commitment Amount
US$ 156.64 million
Environmental Category
N/A
Last Update Date
December 12, 2023
Closing Date
March 31, 2026

Consultant Services required
No
Last Stage Reached
BANK APPROVED

Notes
1. Total project cost includes funding from World Bank and non-bank sources in US$ millions. Active and Closed projects show current commitments. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is indicative and may be modified during the project preparation.
2. Borrower refers to the Borrower of a Loan or Recipient of a Grant.
3. ”Fiscal Year” is the fiscal year in which the project was approved (or dropped if the status is dropped). The World Bank's fiscal year is from July 1 - June 30. For example, a fiscal year of 1996 corresponds to July 1, 1995 - June 30, 1996.

Sectors

Themes

FY17 - Economic Policy

FY17 - Trade39%
- FY17 - Trade Facilitation39%
- FY17 - Trade Policy39%

FY17 - Environment and Natural Resource Management

FY17 - Climate change2%
- FY17 - Adaptation2%
- FY17 - Mitigation1%

FY17 - Human Development and Gender

FY17 - Gender28%

FY17 - Private Sector Development

FY17 - ICT20%
- FY17 - ICT Solutions20%

FY17 - Public Sector Management

FY17 - Public Administration33%
- FY17 - E-Government, incl. e-services24%
FY17 - Public Finance Management34%
- FY17 - Public Expenditure Management34%

FY17 - Urban and Rural Development

FY17 - Disaster Risk Management28%

Project Map

Interactive Map

Finances

Financing Plan (US$ Millions)

Financier	Commitments
International Bank for Reconstruction and Development	156.64

Total Project Financing (US$ Millions)

Product Line	IBRD/IDA
IBRD Commitment	156.64
IDA Commitment	N/A
IBRD + IDA Commitment	156.64

Lending Instrument
Grant Amount	N/A
Total Project Cost**	153.00

Summary Status of World Bank Financing (US$ Millions) as of March 31, 2025

No data available.

Detailed Financial Activity as of March 31, 2025

Download:

Period	Financier	Transaction Type	Amount (US$)
Jun 27, 2024	IBRD-90750	Loan Disb	1,398,891.90
Nov 15, 2021	IBRD-90750	Int Charges	177.45
Nov 15, 2021	IBRD-90750	Int Charges	32,939.68
Nov 15, 2021	IBRD-90750	Int Charges	193,327.86
Nov 15, 2021	IBRD-90750	Int Charges	1,297.89
May 15, 2022	IBRD-90750	Int Charges	42,710.52
May 15, 2022	IBRD-90750	Int Charges	189,002.83
Feb 23, 2022	IBRD-90750	Loan Disb	2,114,200.00
Nov 15, 2022	IBRD-90750	Int Charges	102,867.94
Nov 15, 2022	IBRD-90750	Int Charges	190,663.40
Mar 7, 2023	IBRD-90750	Loan Disb	2,758,359.20
May 15, 2023	IBRD-90750	Int Charges	221,531.12
May 15, 2023	IBRD-90750	Int Charges	186,251.14
Nov 15, 2023	IBRD-90750	Int Charges	296,415.97
Oct 13, 2023	IBRD-90750	Loan Disb	1,188,790.90
Nov 15, 2023	IBRD-90750	Int Charges	186,918.40
Mar 11, 2021	IBRD-90750	Fee Charges	391,600.00
May 15, 2021	IBRD-90750	Int Charges	368,276.56
May 7, 2021	IBRD-90750	Loan Disb	3,238,550.00
Mar 26, 2020	IBRD-90750	Loan Commitment	156,640,000.00
Mar 22, 2024	IBRD-90750	Loan Disb	1,901,341.60
May 15, 2024	IBRD-90750	Int Charges	356,357.50
May 15, 2024	IBRD-90750	Int Charges	182,596.97
May 15, 2024	IBRD-90750	Int Charges	7,522.83
May 15, 2024	IBRD-90750	Int Charges	268.71

Footnotes

Ratings

IMPLEMENTATION RATINGS

Name	Review	Date
Monitoring and Evaluation	Satisfactory	2025-02-20
Financial Management	Satisfactory	2025-02-20
Overall Implementation Progress (IP)	Moderately Satisfactory	2025-02-20
Progress towards achievement of PDO	Moderately Satisfactory	2025-02-20
Procurement	Moderately Satisfactory	2025-02-20
Project Management	Satisfactory	2025-02-20

COMPLETION RATINGS

No data available.

INDEPENDENT EVALUATION RATINGS

No data available.

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Reduction of operating costs of the tax and customs administration relative to revenue Value 0.96 0.80 0.75
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Reduction in evasion of Value Added Tax as percent of GDP Value 42.00 42.00 35.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Reduction in the time taken to pay Value Added Tax Value 74.00 74.00 24.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Reduction in the time to produce consolidated financial statements Value 45.00 45.00 7.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Reduction in evasion of Corporate Income Tax as a percent of GDP Value 38.00 38.00 27.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Reduction in the time taken for customs clearance Value 72.00 70.36 24.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Share of the General Government budget executed directly through the new IFMIS Value 0.00 0.00 100.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment

INTERMEDIATE RESULTS INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Increase in Taxpayers that are satisfied with tax services	Value	No perception satisfaction measured	No perception satisfaction measured	Increase baseline by 20%
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Proportion of institutions from the national budget that have undertaken evidence-based methodologies for improving expenditure effectiveness	Value	0.00	0.00	100.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Traders that are satisfied with customs services	Value	No perception satisfaction measured	No perception satisfaction measured	Increase baseline by 20%
	Date	January 1, 2020	December 4, 2023	November 30, 2027
	Comment

Interoperability of MOF and other external systems Value 130.00 130.00 380.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Share of calls attended by the call center Value 25.00 25.00 90.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Percentage of inspections carried out by Customs Value 10.00 7.57 5.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Availability of Information Management Systems Value 95.00 95.00 99.90
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Taxpayer services available on mobile applications Value 0.00 0.00 25.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Institutions executing budget through IFMIS Value 23.00 23.00 73.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Proportion of tax audits that generate tax revenues Value 66.00 66.00 75.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Use of advance declarations Value 13.00 13.00 90.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Reduction of staff payments overpaid Value 10000000.00 6000000.00 5000000.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment

Share of institutions using IFMIS to generate consolidated financial statement complying with International Public Sector Accounting Standards (IPSAS)	Value	18.00	18.00	100.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Proportion of customs audits that generate tax revenues Value 25.00 20.00 70.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment
Electronic payments made to beneficiaries through TSA Value 50.00 50.00 75.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment

Integrated debt management system	Value	4 different systems of internal and external debt	4 different systems of internal and external debt	Integrated debt management system inter-operable w
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction in time for generation of debt statistics Value 45.00 45.00 7.00
Date January 1, 2020 December 4, 2023 March 31, 2026
Comment

Reduction of operating costs of the tax and customs administration relative to revenue	Value	0.96	0.80	0.75
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction in evasion of Value Added Tax as percent of GDP	Value	42.00	42.00	35.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction in the time taken to pay Value Added Tax	Value	74.00	74.00	24.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction in the time to produce consolidated financial statements	Value	45.00	45.00	7.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction in evasion of Corporate Income Tax as a percent of GDP	Value	38.00	38.00	27.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction in the time taken for customs clearance	Value	72.00	70.36	24.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Interoperability of MOF and other external systems	Value	130.00	130.00	380.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Share of calls attended by the call center	Value	25.00	25.00	90.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Percentage of inspections carried out by Customs	Value	10.00	7.57	5.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Availability of Information Management Systems	Value	95.00	95.00	99.90
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Institutions executing budget through IFMIS	Value	23.00	23.00	73.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Proportion of tax audits that generate tax revenues	Value	66.00	66.00	75.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Use of advance declarations	Value	13.00	13.00	90.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Reduction of staff payments overpaid	Value	10000000.00	6000000.00	5000000.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Electronic payments made to beneficiaries through TSA	Value	50.00	50.00	75.00
	Date	January 1, 2020	December 4, 2023	March 31, 2026
	Comment

Costa Rica Fiscal Management Improvement Project

Abstract*

Development Objective

Key Details

Project Details

Sectors

Themes

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Project Map

Finances

Financing Plan (US$ Millions)

Total Project Financing (US$ Millions)

Summary Status of World Bank Financing (US$ Millions) as of March 31, 2025

Detailed Financial Activity as of March 31, 2025

Ratings

IMPLEMENTATION RATINGS

COMPLETION RATINGS

INDEPENDENT EVALUATION RATINGS

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INTERMEDIATE RESULTS INDICATORS