This week Colombia's Liberal Party offered its backing to market-friendly Federico Gutiérrez – who currently trails left-wing Gustavo Petro in the polls – ahead of next month's presidential election. This decision may offer some solace to investors, although we think that Gutiérrez's plans for fiscal consolidation look ambitious and may be politically difficult to achieve. This suggests that, while public debt risks would be lower than under a Petro presidency, Gutiérrez may struggle to put Colombia's public finances on a sustainable path over the medium term.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services