Colombian economy will grow by around 4% in 2022, said the World Bank

The World Bank (WB) updated its forecast for Colombia's economic growth for 2022, raising it from 4.1 to 4.4%, a figure that, according to the multinational financial organization, is equivalent to almost double what the region's Gross Domestic Product (GDP) will grow this year.

In its biannual report on 'Economic Outlook, 'published on Thursday, April 7, the world issuer noted that, despite the deterioration in the quality of Colombian employment and a public debt of 70%, they have high expectations for the improvement of Colombia's economy this year, due to the progress of the National Plan for Covid-19 vaccination.

As detailed by the World Bank, progress in vaccination against covid in the country allowed the Colombian economic recovery to be accelerated. In fact, the agency noted that, otherwise, there would have been an uptick in Colombia's poverty levels, as well as other negative social factors that impede the development of the Nation.

However, economic projections for the rest of the region did not have the same positive expectations as Colombia. In the semi-annual report known to EFE, the Washington-based institution reduced economic growth prospects for Latin America: by 2022 it forecast by 2.3%, while by 2023 it fell from 2.7% to 2.2% and placed the figure for 2024 at 2.4%.

Thus, while Colombia's economy is expected to grow by 4.4 per cent this year, expectations in other nations in the region will be lower: Bolivia (3.9 per cent); Argentina (3.6 per cent); Peru (3.4 per cent); Uruguay (3.3 per cent); Chile (1.9 per cent) and Paraguay (1.5 per cent). According to the World Bank report, the country that would have the closest growth to ours would be Ecuador, with 4.3%.

For North America, Central America and the Caribbean, global issuer projections are: Panama (6.5 per cent); Dominican Republic (5 per cent); Saint Vincent and the Grenadines (4.2 per cent); Costa Rica (3.4 per cent); Guatemala (3.4 per cent); Honduras (3.1 per cent); Nicaragua (2.9 per cent); El Salvador (2.9 per cent); and Mexico (2.1%).

The World Bank's chief economist for the region, William Maloney, indicated during the presentation of the report that, if these economic forecasts are confirmed, growth in Latin America and the Caribbean will be among the lowest in the world, becoming very similar to those in the Middle East and North Africa, so reported the news agency EFE.

As for what the Colombian economy holds in the next two years, the international issuer expects that by 2023 the country's economic growth will slow by 3.5%, while by 2024, the World Bank estimates that the figure will be close to 3.3%. The data, according to the agency, will depend on how the reactivation process proceeds, as well as on the resolution of the conflict between Russia and Ukraine.

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