Colombia repurchases US$16.473 million in bonds and the Ministry of Finance assures it reduces future pressure on debt interest
Portafolio Journalist 04/29/2026 11:02 Updated: 04/29/2026 11:02
TL;DR
- Colombia executed external debt buyback operations totaling US$16.473 million since 2025.
- The strategy aims to reduce borrowing costs, decrease currency exposure, and alleviate future interest payment pressure.
- A recent US$4.560 million buyback captured discounts of approximately US$135 million and is projected to save millions in interest.
- External debt as a percentage of total public debt decreased from 41.8% in 2022 to 25.1% in April 2026.
- The average coupon rate of external debt fell from 5.02% in January 2025 to 4.26% after recent operations.
- The EMBI Colombia index dropped to its lowest level since April 2021, indicating reduced country risk.
- The currency composition of external debt has been diversified, reducing dollar dependency.
- Net debt is projected to stabilize around 58.9% of GDP in 2026, below previous forecasts.
- The strategy is credited with strengthening the resilience of the debt portfolio and contributing to economic stability.