Colombia’s Central Bank estimates second quarter growth within 2.5 percent and 4.0 percent, with 3.4 percent as more likely figure. In the second quarter of 2013, exports improved due to higher production of oil, ferronickel and coffee. While consumer confidence and retail sales increased, suggesting an expansion in private consumption, industrial production shrank again although at a slower pace.
In June, annual inflation rate (2.16 percent) and core inflation (2.5 percent) slightly went up from May’s figures. Yet the expectations point to a target of 3 percent.
The Bank cut its growth outlook for 2013 from 4.3 percent to 4 percent, due to a modest recovery of the world economy and weaker than expected private spending.
The Bank expects that the monetary and fiscal policy actions already taken will have an effect throughout the rest of the year to produce a faster growth rate.