Central Bank of Colombia Leaves Rate on Hold

Colombia’s Central Bank decided on September 27th to hold the main interest rate steady at 3.25 percent, citing stronger economic growth. The Board also decided to extend its dollar purchase program until December.

The second quarter GDP growth was better than expected due to higher investment, private and public consumption. Several indicators suggest that the GDP growth will accelerate in the third quarter, boosted by building investment, while consumption is expected to remain steady at first-half levels, the Central Bank of Colombia said.

In August, the inflation rate was recorded at 2.27 percent and inflation expectations point to a target of 3 percent.

The central bank also said it would extend its dollar purchase program between October and December this year and buy up to USD 1000 million.

Krisztina Györffy | krisztina@tradingeconomics.com
9/30/2013 2:57:39 PM