As Colombians head toward a presidential runoff on June 21, the country’s deepening fiscal crisis has moved to the center of the campaign. File Photo by Carlos Ortega/EPA
June 11 (UPI) -- As Colombians head toward a presidential runoff on June 21, the country's deepening fiscal crisis has moved to the center of the campaign.
The debate is overdue. Under the outgoing Petro administration, public spending jumped from about 18.7% of gross domestic product in 2019 to nearly 24% in 2024, according to government figures.
The fiscal deficit widened from 4.2% of GDP in 2023 to 6.8% in 2024, the highest in three decades outside the pandemic. Public debt now stands at roughly 61% of GDP, and the central bank has raised its benchmark interest rate to 11.25% to contain inflation. Whoever wins on June 21 will inherit a country whose talent far exceeds its capital.
Colombia has one of Latin America's most valuable assets: its people. Its young professionals are educated and ambitious, with a growing command of English, software and the global rhythms of innovation. The country is already a natural nearshoring destination for U.S. and European companies drawn by cultural proximity, compatible time zones and competitive costs.
