Colombia’s economy grew 4.28% in the second quarter, buoyed by strong performance in the construction sector, according to Colombian statistics agency DANE.
The increase in Gross Domestic Product (GDP), calculated over the same period (April-June) in 2013, is greater than the average quarterly GDP growth rate of 4.19% since 2008.
Out of the nine industries tracked by DANE, construction led the charge with a 10.15% increase, followed by financial services at 6.12% and social services at 5.81%. Only two industries, mining and manufacturing, reported downturns from the 2013 second quarter.
Construction’s thrust was primarily due to an 18% increase in civil engineering projects, where financial services grew mainly because of an 8.82% rise in leasing actions, and social services mainly because of health and education activity increases.
Though most industries reported higher total GDP contributions than they did during January-March, none of them beat their year over year first quarter growth rates (except financial services, rising a meager .08% more).
Colombia’s economic growth since 2000
Growth in the first quarter of this year was 6.51%.
However, Colombia’s second quarter growth was greater than some of its toughest regional competitors – Brazil’s economy contracted 0.9%, while Peru and Chile grew by 1.7% and 1.9%, respectively.
The Colombian Central Bank has raised interest rates five months in a row to 4.5%, believing the economy to be operating at “near its potential,” according to finance minister Luis Cardenas.