Economics

Central Banker Expects Significant Damage From Colombian Unrest

  • “Not a big deal” if Colombia gets downgraded, co-director says
  • Bank could allow inflation to exceed 3% target during recovery

A demonstrator gestures in front of the Congress of the Republic during a protest in Bogota on May 12.

Photographer: Andres Cardona/Bloomberg
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Colombia faces a “grim” economic growth outlook this year due to social unrest and a surge in Covid-19 infections, according to the central bank’s newest co-director.

This means that the economy is unlikely to expand 6% in 2021 as forecast by the bank earlierBloomberg Terminal this month, said Jaime Jaramillo, who was named to the board in February.