Goldman Sachs expects Congress to dilute Colombia's new fiscal plan

Abelardo de la Espriella’s government filed the Economic Rescue Law in Congress on October 29, 2026, which Finance Minister Miguel Gómez Martínez stated would cut state spending by 45 trillion pesos. Goldman Sachs warned that the fiscal plan may be diluted by Congress, expecting lawmakers to pass a weaker package than the one filed by the government. The bank noted that the bill covers about 75% of the planned adjustment, with the remaining 25% depending on presidential decrees and a National Development Plan expected in early 2027.

Goldman Sachs stated that the budget gap is relevant to American investors because Colombia sells bonds in pesos and in dollars. The bank projects Colombia’s primary deficit, before interest payments, at 2.5% of economic output in 2027, which is higher than the government's own target of 2.1% for that year. A delay in the debate could also postpone planned savings.

Abelardo de la Espriella has blamed Congress for budget failures and attributed the deficit to the previous administration of Gustavo Petro.