Friday, February 26, 2021

Colombia finmin wants to study lowering cenbank interest rate

(Reuters) – Colombia’s central bank should study cutting its benchmark interest rate in line with other economies to prevent a flood of U.S. dollars into the Andean nation, the country’s finance minister said.

In a Reuters poll on Monday, 19 of 30 analysts believed the monetary authority would keep rates steady at 4.75 percent when it meets on Friday while 11 experts thought that policymakers would lower the rate 25 basis points.

Faster growth in the second quarter may give the central bank room to pause cuts to its overnight lending rate after two consecutive slashes to protect Colombia from a weakening global economy, and to wait for more domestic data.

- Advertisement -

Finance Minister Mauricio Cardenas, who is on the bank’s board of directors, said, however, that weak domestic data recently and more asset purchases by the U.S. Federal Reserve should push Colombia’s central bank to mull cutting rates again.

“Given these signals it is very important to review the issue of reducing interest rates in our country so that we have no difference to encourage inflows of foreign exchange into our country,” Cardenas told journalists late on Monday.

“We want interest rates in Colombia which are not much higher than the international ones to try to prevent capital inflows to Colombia.”

Better security over the last decade has attracted billions of dollars in foreign investment, and the $330 billion economy could bring in as much as $17 billion this year, up from about $2 billion in 2000, the government has said.

- Advertisement -

Record investment has helped pushed up the value of the peso currency, which is the world’s third-strongest gaining currency of the 152 tracked by Thomson Reuters.

- Advertisement -

We strive for accuracy in its reports. But if you see something that doesn’t look right, send us an email. The Q reviews and updates its content regularly to ensure it’s accuracy.

"Rico" is the crazy mind behind the Q media websites, a series of onlinemagazines that includes Rico brings his special kind of savvy to online marketing. His websites are engaging, provocative, informative and sometimes off the wall, where you either like or you leave it. The same goes for him, like him or leave him.There is no middle ground. No compromises, only a passion to present reality as he sees it!

Related Articles

Bogotá, Medellín and Cali: the cities with the most violations of measures against covid-19

QCOLOMBIA - Since the mandatory isolation began in Colombia, 1,400,387 finess...

What happens if a Colombian does not attend the scheduled covid-19 vaccination appointment?

QCOLOMBIA - A few days after starting the National Vaccination Plan,...


What happens if a Colombian does not attend the scheduled covid-19 vaccination appointment?

QCOLOMBIA - A few days after starting the National Vaccination Plan, Colombians still have some doubts regarding their immunization process and there is fear...

We do not move even half the passengers we would have on a normal day: Transmilenio manager

QCOLOMBIA - The public transport system in Colombia has been one of the worst-hit sectors since the start of the coronavirus pandemic, as quarantines...

Colombia Suffered Its Deepest Slump Since 1905 Last Year

(Bloomberg) -- Colombia’s economy suffered its deepest contraction in more than a century last year, leaving it wracked by soaring debt, mass unemployment and...

Colombia receives first batch of vaccines

QCOLOMBIA - Colombia advanced the start of the immunization campaign against the coronavirus to February 17, three days ahead of schedule, after receiving the...

There’s A Good Chance Your Valentine’s Flowers Come From Colombia

QCOLOMBIA - If you send a bouquet of roses for Valentine's Day, chances are they were grown in Colombia. It remains the No. 1...

Colombia begins 2021 with a reactivation of 55% in flights

QCOLOMBIA - The end of the year travel season arrived with important expectations of recovery for the tourism sector. The improvement in the tourist...

Pope thanks Colombia for efforts to protect migrants

Q REDAQTED (Vatican News) - “I always look with gratitude at the efforts of those who work for migrants,” Pope Francis said on Sunday...

Colombia okays US$38 billion dollar reactivation plan

QCOLOMBIA - Colombia’s economic and social policy council (Conpes) has greenlighted a 135 trillion Colombian peso (US$38 billion) economic reactivation plan, which will be...

Colombian Clever Leaves made first shipment of medical cannabis to the U.S.

QCOLOMBIA - Clever Leaves, a Colombian company authorized to handle pharmaceutical grade cannabinoids, announced that its subsidiary, Herbal Brands, managed to establish a strategic...


Get our daily newsletter with the latest posts directly in your mailbox. Click on the subscribe and fill out the form. It's that simple!