Colombia

Colombia’s peso has weakened following speculations that the government might need to increase its allocation for rebuilding efforts in the aftermath of heavy floods that left thousands homeless and damaged roads across the country. But a Bogota-based analyst said that the decline is temporary and marginal and should not have any long-term impact, Bloomberg said. Colombia’s public credit director, German Arce, has explained that the government would not increase debt sales to raise money for rebuilding efforts but may have to raise taxes to help meet expected spending.

Colombian President Juan Manuel Santos said that the damage caused by the heavy rains and flooding that recently hit the county are worth approximately USD5.2 billion.