Colombia’s economy will grow 4% this year: ECLAC

Colombia’s economy will have grown an estimated 4% at the end of this year, according to the Economic Commission for Latin America and the Caribbean (ECLAC).

The ECLAC estimation is lower than that of the Colombian government which has so far maintained a predicted 4.5% growth.

This target had already lowered in June from 4.8% to 4.5% because of disappointing Q1 growth. However, Q2 proved more promising with a growth of 4.2%, according to Statistic Agency DANE.

MORE: Colombia lowers economic growth expectation for 2013

ECLAC said that economic growth in the South American country is likely to go up again next year when the GDP is likely to grow 4.5%.

Finance Minister Mauricio Cardenas confirmed to news agency Reuters on Tuesday that Colombia’s economy may expand less than the government target of 4.5% in 2013 but will still top the 4% estimated by ECLAC.

“I believe that surely GDP will end the year above 4 percent, we hope very close to 4.5 percent … For now we, the government, maintain a target of 4.5%,” Cardenas said at a press conference.

President Juan Manuel Santos released a package earlier this year to stimulate and boost growth in the industry, agriculture and housing following crises particularly in manufacturing and agriculture sectors. The five-year plan aims to revitalize the economy and eliminate infrastructure gaps.

MORE: Santos announces new economic stimulus plan

Sources

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