Colombia

:For other uses, see Columbia.

Economy

Main article: Economy of Colombia

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After experiencing decades of steady growth (average GDP growth exceeded 4% in the 1970-1998 period), Colombia entered into a recession in 1999, and the recovery from that recession has been long and painful.

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Colombia's economy suffers from weak domestic and foreign demand, austere government budgets, and serious internal armed conflict, but has evidenced recovery, particularly after the transition from president Pastrana to president Uribe in 2002. The IMF Economic Indicators (published on Sept 21st 2005) forecast the Colombian GDP to reach US$112.3B in 2005.

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Other economic problems facing President Alvaro Uribe range from reforming the pension system to reducing high unemployment. Two of Colombia's leading exports, petroleum and coffee, benefit for high commodity prices worldwide; new exploration is needed to offset declining oil production.

Related Topics:
Alvaro Uribe - Pension - Petroleum - Coffee

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On the positive side, several international financial institutions have praised the economic reforms introduced by Uribe, which include measures designed to reduce the public-sector deficit below 2.5% of GDP in 2004. The government's economic policy and its controversial democratic security strategy have engendered a growing sense of confidence in the economy, particularly within the business sector, and GDP growth in 2003 was among the highest in Latin America.In 2005, Colombia is expected to export is USD$25Billion.

Related Topics:
GDP - 2004 - Democratic security - GDP growth - 2003 - Latin America

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All exports, imports and trade balance are in record levels, and the inflow of export dollars has resulted in substantial revaluation of the Colombian peso, trading slightly below 2300 pesos for USD$1 by September 2005.

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