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Impact on the Local Economy: The Price of the Dollar in Colombia Exceeds $4,400

On the last business day of this week, significant movements have been recorded in the local currency market in Colombia, with the price of the dollar surpassing $4,400. These figures reflect the upward trends of recent days and the strengthening of the US currency in international markets.

According to data provided by our local Stock Exchange, the average price of the dollar stands at $4,411, representing an increase of 52 pesos compared to the current Representative Market Rate (TRM), which is at $4,359.

In today’s trading session, we have observed that the maximum price of quotations reached $4,432, while the minimum remained at $4,380.

This strengthening of the dollar is part of an international context in which the US currency has gained ground, partly motivated by the recent announcement by the US Federal Reserve regarding the increase in interest rates. This measure has raised concerns related to inflation and the possibility of a recession, leading central banks to maintain high-interest rates for an extended period.

Furthermore, the decrease in oil prices has exerted an additional influence on the strength of the dollar, given the historical correlation between the trading of foreign currency and commodity prices.

According to expert projections from the latest Monthly Survey of Expectations (EME) by the Bank of the Republic, it is expected that the TRM will remain within a range of $4,395 to $4,495 by the end of 2023.

The evolution of the exchange market warrants close monitoring as it has a significant impact on the local economy and business sectors engaged in international trade activities.

We will continue to closely monitor these developments and provide updated information regarding their influence on our business and financial environment.

Economic news

Economic Trends in Colombia: Overcoming Challenges on the Horizon

The Colombian economy is facing multiple challenges in the final quarter of the year. Among them, the possibility of a strong El Niño phenomenon, an economic slowdown, dollar instability, and rising inflation stand out. These factors are causing concern at both the national and international levels.

The Colombian Gross Domestic Product (GDP) faces the threat of not surpassing the 2% threshold, mainly due to the economic slowdown. Additionally, the El Niño phenomenon could worsen the situation, affecting the cost of living by increasing prices of food and energy services.

Internationally, market volatility is due to changes in the monetary policies of major central banks, including the US Federal Reserve and the European Central Bank. This situation adds uncertainty, especially when projections suggest economic growth of around 1.9% at the end of the year.

Prominent economists emphasize the need to boost economic growth and keep inflation in check. A modest economic upturn, around 1.2% for December, is expected.

In addition to global factors, experts consider it essential to address the cost of living. Current inflation is around 10.99%, and the big question is whether it can remain in single digits. Ensuring economic stability is crucial for the well-being of the population.

In this context, businesses face the task of maintaining their growth and profitability. Amid these challenging circumstances, having strategic guidance can make a difference. Although the road ahead looks difficult, there are opportunities for those willing to innovate and adapt.

In the next report, we will explore how Colombian companies are using strategic strategies and guidance to overcome economic obstacles.