In its latest auction, Colombia's Ministry of Hacienda placed 900 billion pesos in short-term Treasury titles (TCO) maturing April 20, 2027, at a cutoff rate of 13.450%—slightly lower than the prior auction's 13.65%. Bids totaled 1.6 trillion pesos, or 1.7 times the amount offered, signaling robust demand amid efforts to develop the domestic capital market.
Colombia's Ministry of Hacienda successfully auctioned 900 billion pesos in short-term Treasury titles (TCO) on May 5, 2026, maturing April 20, 2027. The one-year reference drew bids of 1.6 trillion pesos—1.7 times oversubscription—at a cutoff rate of 13.450%.
This follows the early April auction, which placed a similar 900 billion pesos at 13.65% with 1.5x demand. "The TCO placement program supports the Nation's strategy to develop the internal capital market by adding liquid short-end yield curve references," the ministry stated.
Short-term rates remain elevated above long-term ones, indicating heightened risk perception. Economist Alexander Ríos noted, “The market demands greater compensation for short-term lending, reflecting expectations of economic deterioration.”
Context includes a projected 6.7% GDP fiscal deficit by year-end (per Carf), March 2026 peso liquidity of 12.4 trillion, and record 90 trillion pesos in debt interest payments forecast for 2027 (Universidad Javeriana's Fiscal Observatory).
