Colombia | BBVA Tracker: Consumption. 24 June, 2020.

Summary

In this weekly update of our BBVA Tracker indicator: Consumption, we carry out an analysis at the level of sector, city, type of payment and form of purchase on the first VAT holiday carried out in the country on June 19, 2020. We found that there is an important effect on consumption and e-commerce.

Key points

• Key points:
• The first day without VAT of the year had a positive impact on the consumption of Colombian households. Especially in the clothing, household appliances and department store sectors
• The first VAT holiday of the year had a positive impact on the consumption of Colombian households. Especially in the clothing, household appliances and department stores
• Cali, Medellín and Bucaramanga were the cities with the best performance in the clothing sector
• Cash consumption did not change much during the day without VAT since, in order to apply for the VAT exemption benefit, purchases had to be made with electronic methods of payment
• In sectors that were already showing signs of recovery, such as restaurants, fuel and transport, there were no additional impulses from the VAT holiday.

Geographies

Topics

Tags