Colombia's Finance Minister Germán Ávila announced that the gasoline price will decrease by $500 per gallon starting February 1, 2026. This reduction exceeds the initial projection of $300 and is part of an anti-inflationary strategy. The government plans further adjustments to ease household economics.
On January 30, 2026, Colombia's Finance Minister Germán Ávila confirmed in a press conference that the gasoline price will drop $500 per gallon starting February 1. This measure, announced after the Central Bank's decision to raise interest rates, exceeds the initial $300 reduction projected by the government two weeks ago.
"Gasoline in February will drop $500 pesos", Ávila stated, adding: "In the coming days, a decree will be issued reducing the gasoline price by $500, and we will continue with larger reductions to establish an anti-inflationary measure". The decision stems from stabilized international oil prices and gaps between domestic and global reference values, which still amount to $3,000 to $4,000 per gallon.
The aim is to boost household disposable income, particularly for middle strata, and ease inflationary pressures. The Ministry of Mines and Energy, led by Edwin Palma, described the adjustment as technical and progressive, coordinated with Finance. Economic indicators will be monitored for future steps.
Regarding the Fuel Prices Stabilization Fund (FEPC), which built up deficits from subsidies, the government targets a zero balance by the end of 2026. This would eliminate subsidies without fiscal instability. Gasoline has been unsubsidized for three years, with its price doubling from around $9,000 to over $16,500 per gallon between 2020 and 2025.
Ávila stressed: "We want to establish an anti-inflationary measure with the fuel price reduction and the gaps that had opened between international and domestic prices". This initiative begins a structural review of the fuel pricing system, emphasizing transparency and subsidy reorientation.
