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Colombian exports saw 18% decline in JuneColombian (GXG) exports stood at $2.8 billion in June 2017, an 0.8% increase year-over-year and an 18% decline on a month-over-month basis. However, exports in the first half of 2017 jumped by about 20.4% as compared to the corresponding period last year.
The external sector has been a major contributor to the Colombian economy despite the drop in oil prices (USO) and an extreme climate due to the El Nińo effect in the last few years.
Colombian exports saw the smallest gain since October 2016, as exports increased at a slower pace for agricultural goods, food, and beverages, and fell for fuels and mining products. Dole Foods (DOLE) controls about one fifth of Colombia’s banana and flower exports as of 2016.
The economic activity in Colombia is expected to gradually gain strength in 2017 after disappointing growth in 1Q17. The improved growth expectation for the Colombian (GXG) economy in 2017 is mainly due to the accommodative monetary policy and reduced instability in 2017. External factors are also expected to support economic activity as global demand recovers in 2017. The economic growth is expected to be at 2.3% and 3% for 2017 and 2018, respectively, according to the IMF report from May 2017.
Publication date: 8/11/2017
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