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Thursday, Jun 05, 2025

Negotiations for Costa Rica's Public Universities Budget Stalled Over Government Proposal

Negotiations for Costa Rica's Public Universities Budget Stalled Over Government Proposal

The Chaves administration's 0.5% increase in funding for public universities has been rejected as inadequate by university representatives.
The government of President Rodrigo Chaves has proposed a modest increase of 0.5%, amounting to ¢2.938 billion, for the 2026 Special Fund for Higher Education (FEES 2026), which would set the total budget at ¢590.564 billion.

This proposal was categorically rejected during the second negotiation meeting held on June 3.

Last week, the Minister of Finance, Nogui Acosta, introduced an initial negotiation base of ¢587.608 billion, a figure that had satisfied both the government and university representatives at the time.

However, the optimism from that meeting dissipated with the proposal put forth on June 3. The initial base includes ¢576.087 billion, the total approved for the previous year, plus an increase of 2% (¢11.521 billion) that had previously been sanctioned by the Legislative Assembly after negotiations for this year's FEES fell through.

The 2% budget increment for 2025 has yet to be disbursed by the government.

During the negotiation, Minister Leonardo Sánchez emphasized that the offered increase was merely a starting point, indicating the need for a counterproposal from the universities before substantial discussions could commence.

Inflation figures, majorly based on the Consumer Price Index (CPI), informed the government's proposal.

Sánchez noted that a 0.5% increase is effectively around a 1% rise in the context of inflation being below that threshold.

He stated, "We will examine university proposals to assess the viability and feasibility of adjusting this amount."

In contrast, María Estrada Sánchez, President of the National Council of Rectors (Conare) and Rector of the Technological Institute of Costa Rica (TEC), described the government's offer as unsatisfactory.

She has indicated that on June 17, during the next session, representatives of public universities will present their counterproposal, emphasizing that the government’s methodology in projecting inflation was not acceptable.

"Historically, the FEES has utilized projected inflation estimates from the Central Bank, but this time the government has used accumulated inflation from the previous year, which represents an unprecedented deviation from our expectations," Estrada stated, citing concerns regarding the projections' relevance for the future of education and national competitiveness.

Raquel Loría, the student representative in the negotiations, echoed similar sentiments, arguing that the allocation of budgets pertains to real-life implications beyond just numbers.

"The proposal from the government is not only insufficient but also disconnected from the realities facing our public universities."

In the previous year, the proposal from the universities was for a 4.06% budget increase, while the government countered with only 1%.

After unsuccessful negotiations, the Legislative Assembly mandated a 2% increase, which has not yet been allocated.

The second meeting of the negotiating committee for the FEES 2026 occurred at the Conare facilities in Rohrmoser, presided over by Leonardo Sánchez.

Notable attendees included the Ministers of National Planning and Economic Policy, Marta Esquivel Rodríguez, and the Minister of Science, Innovation, Technology and Telecommunications, Paola Bogantes Zamora.

Minister Acosta was absent, being overseas.

University representatives included Maria Estrada Sánchez, Carlos Araya Leandro from the University of Costa Rica (UCR), and multiple rectors from other public institutions, along with Raquel Loría, the current President of the Federation of Students from the National University (UNA).
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