1. NS4540 Winter Term 2016 Colombia Economy
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2. Colombia WEF I

3. Colombia WEF II

4. Colombia WEF III

5. Colombia: Governance

6. Colombia: Economic Freedom I

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8. Colombia/Venezuela Economic Freedom

9. Colombia/Ecuador Economic Freedom

10. Economic Overview

11. Recent Developments I
2015 drop in oil prices and slow-down in private consumption slowed growth to 2.8% down form 4.9% in 2013 and 4.5% in 2014
Country’s economic performance closely tied to hydrocarbon exports and to a lesser extent mining and agricultural activity
In 2016 activity expected to suffer again from long-term drop in commodity and oil prices
Hydrocarbons represent 50% of country’s exports
Long-term drop in price of hydrocarbons which generate one third of state revenues likely to curtail public investment

12. Recent Developments II
Peace deal with the FARC has several aspects
Ceasefire and disarmament of the FARC
FARC’s participation in political life
Implementation of a new rural development policy (land reform)
The fight against drug trafficking and
Recognition of the rights of victims
If peace deal is signed in March 2016

13. Economic Impact of Peace
Government feels improvement in security climate could have a positive impact on the economy somewhere between 1 and 2% of GDP
Report by National Planning Department estimated a peace accord with the FARC could triple foreign direct investment and boost Colombia’s potential economic growth from 4% to 5.9%
Would also boost consumer confidence and domestic consumption
With increased consumer confidence would increase domestic consumption, foreign investment would improve the countries industries to become more competitive on the global market
Annual foreign direct investment could increase to $36