Colombia’s prosecution “used to export cocaine,” says president
Colombia’s government coalition cracks
Colombia’s prosecution calls Uribe to testify over massacres...
Colombia’s peace commissioner replaced
Colombia registers 5 massacres in 48 hours
Colombia’s deputy chief prosecutor denies mafia links
War crimes tribunal indicts Colombia’s former army chief...
Uribe helped plan 1997 massacre, former warlord tells...
Colombia’s war crimes tribunal allows submission of former...
Colombia’s deputy chief prosecutor again linked to drug...
  • About
  • Support
  • Newsletter
  • Contact
Colombia News | Colombia Reports
  • News
    • General
    • Analysis
    • War and peace
    • Elections
    • Economy
    • Culture
    • Sports
    • Science and Tech
  • Travel
    • General
    • Bogota
    • Medellin
    • Cali
    • Cartagena
    • Antioquia
    • Caribbean
    • Pacific
    • Coffee region
    • Amazon
    • Southwest Colombia
    • Northeast Colombia
    • Central Colombia
  • Data
    • Economy
    • Crime and security
    • War and peace
    • Development
    • Cities
    • Regions
    • Provinces
  • Profiles
    • Organized crime
    • Politics
    • Armed conflict
    • Economy
    • Sports
  • Lite
  • Opinion
Finance Minister Alberto Carrasquilla and central bank president Juan Jose Echavarria (Image: Finance Minister)
Economy

Colombia’s central bank at risk of government takeover

by Adriaan Alsema October 30, 2020
3.9K

The resignation of Colombia’s central bank president on Friday allowed President Ivan Duque to strip it of its independence and appoint his controversial finance minister.

If Duque decides to grant the wish of Finance Minister Alberto Carrasquilla, the consequences could be catastrophic.

The finance minister had already expressed his interest in becoming central bank president last month and also resigned of Friday, ringing alarms throughout the country.

Constitutional independence

Colombia’s constitution demands the central bank be independent exactly to prevent that a nepotistic or corrupt government controls the country’s gold reserves, monetary policy and cash production.

For this reason, the central bank has eight members, one of whom is the finance minister.

Duque had already appointed two members and which would appoint another two in 2021, which would give the government already a lot of control.

The announcement of central bank president Juan Jose Echavarria to resign would even allow Duque to appoint Carrasquilla, who has the reputation of your average conman, as president.

The worst of the worst case scenarios

Duque’s two years in office have been marred by nepotism. His alleged corruption has already resulted in four criminal investigations by the House’s Accusations Committee.

Carrasquilla’s reputation is possible worse after appearing in the Panama Papers, inventing a financial scheme that bankrupted dozens of municipalities, granting tax discounts to Duque’s financial patrons and basing national budgets on fictitious variables.

In short, one would have to rely entirely on trust that neither would pull any of their previous tricks while in control of the country’s monetary policy and gold reserves.

All that’s left is prayer

Whether Duque appoints his former finance minister as the replacement of Echavarria depends entirely on Duque, who has the choice of perpetuating his nepotism habits or appoint an economist who is not widely considered a tax evading, nepotistic  conman.

Alberto CarrasquillaCentral Bank

Contribute

Trending

  • Uribe helped plan 1997 massacre, former warlord tells Colombia’s war crimes tribunal

  • Colombia registers 5 massacres in 48 hours

  • War crimes tribunal indicts Colombia’s former army chief over extrajudicial executions

For patrons

Downloads for patrons

Related articles

  • Colombia’s new central bank director increases tensions

  • Colombia’s loathed finance minister to resign after deadly protests: reports

  • Colombia’s central bank elects IMF executive as new president

  • Twitter
  • Email
  • Rss

@2008-2019 - Colombia Reports. All Rights Reserved.
Powered by Digitale Zaken and Parrolabs


Back To Top
Colombia News | Colombia Reports
  • News
    • General
    • Analysis
    • War and peace
    • Elections
    • Economy
    • Culture
    • Sports
    • Science and Tech
  • Travel
    • General
    • Bogota
    • Medellin
    • Cali
    • Cartagena
    • Antioquia
    • Caribbean
    • Pacific
    • Coffee region
    • Amazon
    • Southwest Colombia
    • Northeast Colombia
    • Central Colombia
  • Data
    • Economy
    • Crime and security
    • War and peace
    • Development
    • Cities
    • Regions
    • Provinces
  • Profiles
    • Organized crime
    • Politics
    • Armed conflict
    • Economy
    • Sports
  • Lite
  • Opinion