© Reuters. FILE PHOTO: The Worldwide Financial Fund (IMF) emblem in Washington, United States, September 4, 2018. REUTERS/Yuri Gripas/File Photograph
(Reuters) -Colombia’s economic system is at the moment present process a transition towards a extra sustainable development path, the Worldwide Financial Fund mentioned Thursday, highlighting tightened macroeconomic insurance policies, slowing world development and better borrowing prices.
A “essential” cooling of Colombia’s economic system would assist deliver inflation towards the central financial institution’s goal by the tip of 2024 and slender the present account deficit steadily, the IMF added.
Nonetheless, some draw back dangers persist and stay elevated, the fund mentioned.
Administrators of the IMF, which concluded a session with Colombia on Wednesday, counseled the South American nation’s “decisive” financial coverage tightening, which it deemed in step with concentrating on inflation.
The administrators “welcomed the dedication to take care of a decent financial stance till value pressures and inflation expectations are on a agency downward development,” the IMF mentioned.
A two-year, practically $9.8 billion versatile credit score line permitted by the IMF in April has given Colombia “extra exterior buffers” and enhances the nation’s resilience, the IMF added.