On April 28th, Colombia made its official accession to the Organization for Economic Co-operation and Development (OECD). This membership advances the international community’s confidence in the country and entails a commitment on the part of Colombia to comply with best practices and global policies in order to engender security, transparency, and equity.
Colombia’s official entry came after completing the OECD Convention’s internal ratification procedures and deposited its instrument of accession, thereby successfully concluding the incorporation process that began in 2013.
The OECD highlighted Colombia's macroeconomic framework as one of the strongest in the region—due to Colombia’s rapid economic recovery given the recent drop in the price of raw materials—and deems it one of the most resilient and reliable in Latin America.
General Ángel Gurría, OECD Secretary, stated, “Colombia's accession reaffirms our commitment to unite countries striving to achieve the highest standards in global public policies in order to improve their citizens’ well-being and quality of life.”
OECD membership validates Colombia as a country governed under stringent international standards. It is now among the countries carrying out best practices in order to improve its inhabitants’ quality of life. Colombia is the third Latin American country to join this select group that Mexico and Chile already belong to.
In the last five years, Colombia has positioned itself as the region’s third largest recipient of foreign direct investment, preceded by Brazil and Mexico.
In terms of ease of doing business, Colombia ranked fourth in Latin America, and first in providing protection to investors, according to the World Bank’s Doing Business report.
Just two months ago, the economic outlook for 2020 revealed that the Colombian economy would be the fastest growing among Latin America’s large countries. The arrival of COVID-19 led to 2020’s forecast to contract 2% for Colombia, and 4.6% for the region, according to the International Monetary Fund.
For 2021, the IMF forecasts domestic economic recovery and growth of 3.5%, one of the highest in Latin America.
Colombia maintains its investment grade from the world’s top three rating agencies (S&P, Fitch, and Moody’s) and has policies favoring investment, such as the Economic Growth Law, which provides tax incentives and guarantees for FDI.