Colombia GDP Growth Misses Expectations in Q2

Colombia’s GDP grew by 2.3% year-on-year in the fourth quarter of 2025, slowing from 3.6% in the previous quarter and falling short of market expectations for a 3% expansion. Growth was primarily supported by a 3.4% increase in wholesale and retail trade, alongside a 4.8% rise in public administration, defense and related services, and a strong 11.5% expansion in recreation services. Additional gains were recorded in utilities (2.9%), real estate activities (1.9%), professional and scientific activities (1.5%), manufacturing (1%), and financial services (0.7%). In contrast, output declined in mining and quarrying (-2.9%), construction (-2.6%), communication (-1.2%), and agriculture (-0.4%). On a seasonally adjusted quarterly basis, the economy expanded by 0.1%, slowing sharply from 1.2% growth in the third quarter. Considering full 2025, the economy expanded by 2.6%, supported by wholesale and retail trade (4.6%), public administration and defense (4.5%) and recreation services (9.9%).

Colombia's GDP grew by 3.6% in the third quarter of 2025 compared to the same period a year earlier, up from 2.1% in the previous quarter and surpassing the forecast of 3.1%. The main contributors to value-added growth were public administration and services (8%), wholesale and retail trade (5.6%), and manufacturing (4.1%). Notable expansion was also seen in recreation and culture (5.7%) and finance (4.3%). In contrast, mining and quarrying (-5.7%) and construction (-1.5%) experienced declines. On a seasonally adjusted basis, the economy expanded by 1.3% from the previous quarter.

Colombia's GDP grew by 2.1% in the second quarter of 2025 compared to the same quarter a year earlier, easing from the fastest rate of expansion in two years of 2.7% in the previous quarter and missing expectations of 2.6% growth. The result was driven by a 5.6% rise in wholesale & retail, transport and accommodation & food services, a 3.8% increase in agriculture and a 1.8% gain in public administration and related services. In contrast, mining and quarrying contracted sharply (–10.2%), which limited broader expansion. On a seasonally adjusted basis, the economy expanded 0.5% from the previous quarter. Despite the quarterly improvement, the economy remains sensitive to external conditions, notably demand from the US and broader global trade developments.