The central bank of Colombia raised its benchmark interest rate by another 100bps to 6% in its April 29th meeting, in line with market expectations. The move marked the sixth rate hike since the gradual tightening of conditions began in September 2021, bringing borrowing costs to the highest level since May of 2017. The decision was driven by persistently high price pressures and uncertainty around the international outlook. The annual inflation rate in Colombia accelerated to a six-year high of 8.5% in March, almost triple the 3% target laid out by the central bank. Inflation is expected to fall during the rest of the year and end around 7% in 2022, but is not expected to return to the target within the next two years. Meanwhile, the economy is now seen expanding by 5%, above an earlier estimate of 4.7%. The board meeting is the last before the presidential election in May, with a leftist candidate who has repeatedly criticized the central bank tightening stance, leading the polls. source: Banco de la República de Colombia

Interest Rate in Colombia averaged 8.65 percent from 1998 until 2022, reaching an all time high of 32 percent in May of 1998 and a record low of 1.75 percent in September of 2020. This page provides the latest reported value for - Colombia Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Colombia Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on June of 2022.

Interest Rate in Colombia is expected to be 7.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Colombia Interest Rate is projected to trend around 7.50 percent in 2023 and 5.50 percent in 2024, according to our econometric models.

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Colombia Interest Rate



Calendar GMT Actual Previous Consensus TEForecast
2022-01-28 06:00 PM 4% 3% 3.75% 3.75%
2022-03-31 07:00 PM 5% 4% 5.5% 5.5%
2022-04-29 06:00 PM 6% 4% 6% 7%
2022-06-30 06:00 PM 6% 7%
2022-07-29 06:00 PM 8%
2022-09-30 06:00 PM


Related Last Previous Unit Reference
Interest Rate 6.00 6.00 percent May 2022
Money Supply M1 180864.46 182384.85 COP Billion May 2022
Money Supply M0 103878.80 102979.47 COP Billion May 2022
Money Supply M3 703955.89 703914.74 COP Billion May 2022
Foreign Exchange Reserves 57602.65 57473.73 USD Million May 2022
Money Supply M2 648257.53 648705.71 COP Billion May 2022

Colombia Interest Rate
In Colombia, interest rate decisions are taken by The Central Bank of Colombia (The Banco de la República). The Banco de la República implements monetary policy by changing interest rates, which either provide or withdraw liquidity from the economy. The official interest rates are the intervention interest rates (Tasas).
Actual Previous Highest Lowest Dates Unit Frequency
6.00 6.00 32.00 1.75 1998 - 2022 percent Daily

News Stream
Colombia Hikes Interest Rate to 6%
The central bank of Colombia raised its benchmark interest rate by another 100bps to 6% in its April 29th meeting, in line with market expectations. The move marked the sixth rate hike since the gradual tightening of conditions began in September 2021, bringing borrowing costs to the highest level since May of 2017. The decision was driven by persistently high price pressures and uncertainty around the international outlook. The annual inflation rate in Colombia accelerated to a six-year high of 8.5% in March, almost triple the 3% target laid out by the central bank. Inflation is expected to fall during the rest of the year and end around 7% in 2022, but is not expected to return to the target within the next two years. Meanwhile, the economy is now seen expanding by 5%, above an earlier estimate of 4.7%. The board meeting is the last before the presidential election in May, with a leftist candidate who has repeatedly criticized the central bank tightening stance, leading the polls.
2022-04-29
Colombia Hikes Interest Rate by Less than Expected
The central bank of Colombia raised its benchmark interest rate by 100bps to 5.0% in its March 31st meeting, surprising markets with a smaller than expected rate hike given the recent surge in inflation. It followed a 100bps increase in the previous meeting, marking the 5th consecutive rate hike. Consumer prices in Colombia rose 8% in February from a year earlier, the fastest since 2016 and double the upper limit of the central bank’s target range. The bank noted that Russia’s invasion of Ukraine could intensify inflation and hence raised the inflation expectations to 6.4% in 2022 and 3.8% in 2023. Meanwhile, it also revised its growth forecast for 2022 upwards from 4.3% to 4.7%. However, the monetary authority reiterates its commitment to the gradual return of inflation to the 3% annual target, for which it will continue to make the necessary decisions.
2022-03-31
Colombia Hikes Interest Rate by More than Expected
The central bank of Colombia raised its benchmark interest rate by 100bps to 4.0% on its January 28th meeting, surprising markets that had forecasted a 75bps increase. It followed a 50bps increase in the previous meeting, marking the 5th consecutive rate hike. To support their decision, policymakers noted that consumer inflation in Colombia closed 2021 at 5.62 percent, the highest reading in nearly five years and far above the central bank’s target of 3 percent. In the meantime, inflation expectations were increased to 4.5 percent (from 4.3 percent) by the end of 2022 and 3.6 percent (from 3.4 percent) by the end of 2023. The bank’s board of directors also noted that Colombia’s economy is expected to have grown by 10 percent in 2021. Looking forward, policymakers stated emphasized that consumer inflation’s progress will be monitored, and opened the door for future rate hikes should inflation expectations continue diverging from the central bank's target.
2022-01-28