2024-06-26 22:52:26
The Minister of Finance Ricardo Bonilla González assured that the Colombian financial system is on a path of restoration, denying claims a couple of disaster.
Within the article titled “Stability: the financial system is recovering,” printed on the ministry’s web site, Bonilla defined why the nation’s financial system is experiencing a interval of progress, removed from the spectre of recession.
The minister recalled that the financial system has not grown since 2011, accumulating a decade of financial weak spotNonetheless, he argued that the expansion recorded after the Covid-19 pandemic is because of a rise in spending and debt throughout 2021 and 2022, noting that “that’s the reason the interval 2023 and 2024 is the second of reality.”
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He dominated out the opportunity of a recession, explaining that “The best risk of recession occurred within the July-September 2023 quarter when the financial system contracted -0.7%; Nonetheless, in October-December it grew by 0.3% and within the first quarter of 2024 it grew by 0.7%, which signifies that the ghost of recession has vanished.” He added that “the financial system has already had its compelled touchdown and is now heading in direction of restoration.”
Bonilla González highlighted the commitments in three key areas: the power transition to decarbonize manufacturing, the financial transition to advance reindustrialization along with the favored financial system, and the fiscal transition geared toward a extra truthful and equitable tax system.
The minister highlighted a number of restoration indicators, amongst them the Financial Monitoring Indicator (ISE) launched by DANE, which confirmed a progress of 5.5% in April 2024 in comparison with the identical month of the earlier yr. “Surely, a superb financial outcome since in March (2024) it had been -1.5%,” he said. Though he acknowledged that this progress is just not but utterly strong, he highlighted the significance of the leap obtained to counteract imprecise data on financial issues.
You could have an interest: The Colombian financial system grew 5.52% in April 2024