Colombia in top 5 of standout economies according to The Economist

The Economist magazine ranked Colombia fourth among 36 OECD economies with the best performance in 2025, tying with Spain. This recognition highlights the country's strong economic growth and thriving stock market. President Gustavo Petro celebrated the achievement, crediting it with attracting global investors.

Colombia's economy has earned international praise by closing the year with a strong showing in The Economist's annual report on the most notable economies of 2025 in the OECD. The country holds fourth place, tied with Spain, outperforming G7 nations like Canada, France, and Japan, amid a global backdrop of persistent inflation and worldwide growth of around 3%.

The ranking relies on five key macroeconomic indicators: inflation, inflation breadth, gross domestic product (GDP), employment, and stock market performance. Colombia excelled especially in GDP growth, reaching 3.4% year-over-year, and in narrowing inflation breadth by 6.7 points, signaling reduced price pressures across the household basket.

These figures align with recent local data from the National Government and Dane, indicating annual inflation at 5.30% in November and an unemployment rate of 8.2% in October, marking the most robust recovery since the pandemic. While the Central Bank of Colombia forecasts a more conservative 2.6% growth for 2025, The Economist's analysis emphasizes the nation's resilience to external shocks and tight monetary policies.

President Gustavo Petro responded on his X account: "The Economist recognizes us as the fourth best economy in the OECD. That's why true entrepreneurs from across the country and the world seek us out for dialogue." This ranking affirms Colombia's economic vitality in a challenging year.

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Realistic illustration of Colombia's 2025 GDP growth at 2.6%, featuring cultural events, consumption, and a growth chart below expectations amid declining investment.
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Colombia's gdp growth in 2025 reached 2.6%

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The National Administrative Department of Statistics (Dane) reported that Colombia's economy grew 2.6% in 2025, below expectations of 2.8%. In the fourth quarter, GDP expanded 2.3%, driven by household consumption, the public sector, and cultural activities like concerts. Investment fell 2.9%, the lowest level in two decades.

Colombia's gross domestic product grew 3.6% in the third quarter of 2025, exceeding market expectations and marking the strongest expansion since 2022. The result was mainly driven by public spending and sectors such as commerce and public administration. However, activities like mining and construction showed contractions.

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The National Administrative Department of Statistics (Dane) revealed that the Economic Tracking Indicator (ISE) grew 3.1% in November 2025 compared to the same month in 2024, marking 18 consecutive months of positive growth. However, the manufacturing sector showed limited progress with 0.7% production growth, while sales fell 0.4%, and retail commerce rose 7.5%. Overall industrial production varied by 1.7%, driven by electricity supply.

S&P Global Ratings downgraded Colombia's sovereign credit rating to BB- (long-term foreign currency) and BB (local currency) with a stable outlook on April 8, 2026, citing persistent fiscal imbalances, higher spending, lower revenues, and suspension of the fiscal rule. The move, following Fitch's downgrade in December, has prompted sharp criticism from business leaders over deteriorating public finances under the Petro government.

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In 2025, Colombia's cultural sector grew nearly 30%, driven by concerts and massive events. Tourism also shone with over 6 million international visitors. This trend reflects a shift in consumer priorities toward memorable experiences.

Colombia ranked 41st out of 44 OECD countries in practicing physicians per 1,000 inhabitants in 2023, with 2.5 doctors per 1,000 people, according to the OECD's Health at a Glance 2025 report. This is among the lowest figures in the group, surpassed only by Turkey, Brazil, and Peru, though it marks progress from 2013.

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Colombia's Consumer Confidence Index (CCI) reached 19.9% in December 2025, up 2.9 percentage points from November. The rise was mainly due to improved perceptions of economic conditions. Compared to December 2024, the index increased by 23.3 percentage points.

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