The publication of Law No. 10973 on September 7, amending the Securities Market Law, represents a significant step in the modernization of Costa Rica’s securities market, which has historically been dominated by public sector fixed-income securities.

The reform facilitates the trading of securities from recognized foreign jurisdictions and enables foreign investors to participate in the local market through remote operators. It is expected to expand investment opportunities, enhance market liquidity and competition, and further integrate Costa Rica’s capital market with international markets.

The next phase will be the development of the implementing regulatory framework. The law grants the Financial Supervisory Council (CONASSIF) six months to issue the relevant regulations, followed by an additional six-month period for the securities exchanges to adopt the rules required in matters within their respective competence. Close attention should be paid to these regulations, as they may prove critical to the effective implementation of the reform.

Text of Law No. 10973: https://link.btalegal.com/mdj