Colombia | We need to fill up the 'piggy bank'

Summary

The saving rate in Colombia transitioned from satisfactory levels to finance investment and long-term growth at the end of the first decade of this century and the beginning of the second, to a level that is among the lowest in the world and in its history by 2023: this is the main cause of the current low investment.

Key points

• Key points:
• The peak savings level was in 2008, with its percentage of GDP reaching 20.7%. Savings levels were also notable between 2004 and 2013, averaging close to 20%.
• In 2003 and between 2006 and 2015, the public sector made positive contributions to domestic savings.
• Domestic savings began declining from 2015 and last year stood at 10.1% of GDP, half of what it was.
• The public sector has experienced eight consecutive years of negative savings; this is not a recent issue.
• Without savings, achieving the necessary investment in the country becomes difficult.

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