November 18, 2020
Colombia entered recession for the first time since 1999 due to paralysis caused by the COVID-19 pandemic.
Last year, GDP expanded 3.5% between July and September, but the positive projections for 2020 were buried with the detection of the first case of COVID-19, after registering a contraction of the Gross Domestic Product (GDP) for the second consecutive quarter .
Latin America’s fourth economy contracted 9% in the third quarter compared to the same period of 2019, although the collapse was less than the -15.8% registered between April and June.
The sectors of commerce, transport, accommodation and food services (-20.1%); construction (-26.2%) and exploitation of mines and quarries (-19.1%), defined the decline in the economy this quarter.
The last time Colombia experienced a recession was in 1999 with negative growth of 4.5%, due to excessive indebtedness from both the public and private sectors and a mortgage crisis.
With 50 million inhabitants, Colombia is the fourth country in the region with the highest number of deaths from coronavirus since the beginning of the pandemic, with more than 34,200, and the third in infections, with more than 1.2 million cases.