[Economics] Colombia's economy grows 13.2% in the third quarter, more than expected

[#Wittels-]

Estimates exceeded expectations regarding economic growth, achieved after almost two years of restrictions due to the coronavirus pandemic.

BOGOTÁ -
The Colombian economy expanded by 13.2% in the third quarter, compared to the same period last year, a figure higher than expected by the market that shows an accelerated recovery of the country's productive activity after the impact of the pandemic of the COVID-19, the Government reported on Tuesday.

According to the median of a recent Reuters poll, the market expected a year-on-year growth in Gross Domestic Product (GDP) of 12% between July and September.

By economic activities, the largest expansions in the third quarter occurred in commerce with 33.8%; in artistic and entertainment activities with 32%; in manufacturing industries with 18.8% and in the information and communications sector with 13.2%.

In addition, much of the variation in the third quarter was explained by a lower comparison base compared to the same period of the previous year, when the economy contracted by 8.4% during the worst of the crisis caused by lockdowns and quarantines for counteract the spread of COVID-19.

In quarterly terms, GDP between July and September expanded by 5.7%, compared to the period between April and June.

 

Meanwhile, between January and September, GDP accumulated growth of 10.3%, compared to a contraction of 8.1% in the same period of 2020.

The greater dynamism of the economy led the Central Bank to start an upward cycle in its reference interest rate in September with an initial increase of 25 basis points, which in October accelerated to 50 basis points to a current 2.50% for try to cool the biggest inflationary pressures.

The Central Bank's technical team last month revised its growth projection for Latin America's fourth largest economy for this year to 9.8%, from a previous 8.6%.

For its part, the government raised its goal by 8.5% from an original 6%.

In addition, for 2022 the issuing bank increased the growth estimate for the economy to 4.7% from 3.9%.

 

Link: https://www.vozdeamerica.com/a/economia-colombia-crece-tercer-trimestre-/6315524.html