Colombia

With a total market capitalization of $93.49bn in September 2015, the Bolsa de Valores de Colombia (BVC) is the fourth-largest stock exchange in Latin America, behind those of Brazil, Mexico and Chile but ahead of Peru’s. During the course of 2015 investor nervousness over emerging markets following the end of the commodities boom, coupled with rising US interest rates in December, prompted a...

Despite the current economic deceleration, Colombia’s banking sector remains strong, with bank profitability, capital adequacy and return on equity (ROE) indicators holding up well during 2015. Loan portfolio growth reached 15.5% that year, according to Colombia’s central bank, while non-performing loans rose to 3.08% at the end of August 2015. Meanwhile, the capital adequacy ratio fell to 15....

As one of the larger economies in Latin America, Colombia has a track record of above-average GDP growth, a reputation for sound macroeconomic management and market-friendly policies. In 2015 it has demonstrated resilience, absorbing a significant oil price shock – petroleum accounts for roughly half of total exports –while maintaining positive, albeit slower, growth. The economy expanded by...

As peace talks between the government of Juan Manuel Santos Calderón and the leaders of the FARC continue in an effort to end 51 years of armed conflict, Colombia’s political climate could now be on the verge of significant change. Both sides agreed in September 2015 to set a deadline by which a final peace accord must be signed – March 23, 2016. If achieved, a peace accord could bolster...