2014 Bogota Blog: Conference Roundup

By
Rachel Glickhouse

Experts highlighted how far Colombia's economy has come, as well as its potential for further growth.

AS/COA's annual Bogota conference examined how far Colombia's economy has come, as well as its potential for further growth.

Opening Remarks

  • Mauricio Cárdenas, Minister of Finance (View his presentation)
  • Ragnhild Melzi, Senior Director, Public Policy Programs and Corporate Relations, Americas Society and Council of the Americas

AS/COA Public Policy Programs and Corporate Relations Senior Director Ragnhild Melzi opened the conference, noting that infrastructure and unemployment represent some of Colombia's economic challenges. Finance Minister Mauricio Cárdenas highlighted Colombia's advances, noting that 2.5 million jobs were created in last four years and that GDP per capita stands at $8,300. Inflation is under 3 percent and average growth stands at around 5 percent, he added.

Colombia is working to become a member of the Organization for Economic Cooperation and Development, and if it were a member now, it would be number one in growth, said Cárdenas. Plus, Colombia is working to tackle a longstanding challenge: unemployment. Formal unemployment is on the rise, Cárdenas showed in his presentation.

Monetary Standards and Prospects for Colombia

  • Leonardo Villar, Executive Director of Fedesarrollo

Fedesarrollo Leandro Villar outlined Colombia's economy in comparison to other developing markets. First, he explained that Latin America is expected to grow 2.5 percent this year, compared to 5.4 percent in India and 7.5 percent in China. Colombia is expected to grow this year, while other Latin American countries may decelerate. Moreover, Colombia is improving employment, creating nearly 1 million jobs a year. The industrial sector is improving, though non-traditional exports are down in part because of the Venezuelan crisis. Overall, exports have been stagnant since last year.

He also pointed to another important trend: the Colombian peso is appreciating, due in part to greater credibility in the economy and foreign investment.

Watch the video of Cárdenas and Villar's remarks.