Slow growth may hit trust in Colombia’s government

Significance Government spending levels depend on those of individual ministries, some of which spent remarkably little last year, raising questions about budgetary decision-making. Recent resignations of high-level officials responsible for planning and budgetary execution have fuelled concerns about future governance. Impacts Pressure to deliver on projects such as the Pan American Games could clash with budgetary, procedural and legal requirements. The government’s overestimation of the 2023 growth rate will foster scepticism about its forecasts for 2024. Colombia’s economic prospects and ability to avoid recession in 2024 will depend on external factors that could push up inflation.