Fenalco reports only 32% of merchants saw higher sales in April

A Fenalco survey reveals April sales posted the weakest performance of the year. Just 32% of businesses reported increases while 68% saw sales hold steady or fall compared with April 2025.

Jaime Alberto Cabal, president of Fenalco, said the results reflect a growing uncertainty that is affecting investment and consumption decisions. The guild presented the data in its Economic Logbook on June 3, 2026. Business expectations also deteriorated. The share of firms expecting economic improvement in the next six months fell from 39% to 25% over the year, while pessimists rose from 11% to 21%. Cabal linked the shift to electoral political uncertainty and inflation trends. The hardest-hit segments were fashion and shopping malls, which recorded fewer visitors. In contrast, service stations, personal-care products and vehicles performed better. Large retail chains posted positive results in intermediate cities and the Eje Cafetero region, while Pasto and Ipiales faced difficulties due to strained Colombia-Ecuador trade ties. Fenalco remains positive about June because of Father's Day, school holidays and the World Cup. Cabal stated these factors could make the month a turning point for household consumption.

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Illustration depicting Colombia's factory production rise amid falling sales and employment, with economic graphs overlay.
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Manufacturing production rises 1.4% in February despite sales drop

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Colombia's manufacturing production rose 1.4% in February 2026 compared to the previous year, but real sales fell 2.5%, according to Dane data. Andi president Bruce Mac Master said the figures show stagnation and that the sector has yet to take off. Employed personnel dropped 0.4%.

Fedesarrollo's March business opinion survey showed the commercial confidence index at 22.8%, up 0.2 percentage points from February, thanks to reduced inventories. In contrast, the industrial confidence index fell 3.2 points into negative territory amid lower production expectations.

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DANE reported that manufacturing industrial production fell 0.5% in January 2026 compared to January 2025, with real sales down 0.7%. This marks two consecutive months of production contraction and three for sales.

Mario Andrés Ramírez, president of Fedelonjas, warned of a 6.5% drop in new housing sales in the first quarter of 2026 compared to 2025, due to high credit costs and fewer subsidies. In cities, nearly half the population lives in apartments, with rentals becoming the dominant form of occupancy. The federation calls for professional management of the rental market.

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Dane reported the consumer price index recorded an annual variation of 5.68% in April, above March's 5.56%.

Fedesarrollo reported that its Economic Policy Uncertainty Index (Ipec) stood at 252 points in March, a drop of 46 points from February. The figure marks 90 consecutive months above the historical average observed from 2000 to 2019.

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Foreign direct investment reached US$3.794 million between January and March 2026, up 63.4% from the previous quarter.

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