Petro says he will not hand over an underfunded state to the next government

President Gustavo Petro denied he will hand over an underfunded state and criticized the interest rate set by Banco de la República.

Through his X account, the Colombian president rejected claims that he would leave public finances in poor shape for the next government. Petro said these are economic studies aimed at handing finances to the IMF and raising taxes on the poor.

The president detailed that the next administration will have 30 trillion pesos in future appropriations to finance modern weapons, public university campuses, railways, fiber optics and public hospitals. These resources were secured during his government.

Petro also addressed the interest rate of Banco de la República, which remained at 11.25 % in May. He stated that internal debt grew because of that rate and that a three-point reduction would collapse the debt and boost the economy.

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Banco de la República board unanimously holds interest rate at 11.25% in meeting with Finance Minister amid inflation and political tensions.
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Banco de la República unanimously holds interest rate at 11.25%, defying hike expectations amid government tensions

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In its May 1, 2026 board meeting, Banco de la República unanimously kept the benchmark interest rate at 11.25%, surprising analysts expecting a hike to combat accelerating inflation. Finance Minister Germán Ávila participated fully, citing constructive dialogue, while board members justified the decision to maintain stability amid political pressures.

President Gustavo Petro presented on X several proposals to counter the effects of the Banco de la República's reference rate hike to 11.25%, which he called unconstitutional. Measures include subsidies for fertilizers, low-rate housing policies, and land distribution to peasants. He also called for self-regulation in fuel consumption amid the Middle East war.

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President Gustavo Petro responded yesterday on X to criticisms from his former finance minister, José Antonio Ocampo, and partially blamed him for the country's fiscal deficit.

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