Thursday, August 13th 2026 - 22:31 UTC
De la Espriella said the country is going through “the most complex fiscal crisis in its entire history” and announced that the emergency will allow the creation of the so-called Fondo Milagro
Colombian President Abelardo de la Espriella declared an economic emergency on Wednesday to address the consequences of Monday's magnitude 7.4 earthquake in the west of the country, against a backdrop of fiscal constraints that will shape how reconstruction is financed.
The outgoing government used 96% of the domestic debt issuance quota set for this year, an unprecedented proportion in a presidential transition, where the norm was to leave around 30% available for the successor, according to calculations by economist Alejandro Rojas of Banco de Bogotá. The current budget also faces a shortfall of more than 30 trillion pesos, some 9.375 billion dollars.
De la Espriella said the country is going through “the most complex fiscal crisis in its entire history” and announced that the emergency will allow the creation of the so-called Fondo Milagro, intended to channel domestic and international contributions towards rebuilding hospitals, schools, housing, roads and airports. “The emergency will have to include economic reactivation measures,” he said at his first press conference since taking office, at which he took no questions.
