IMF increases its Flexible Credit Line for Colombia to $17.2 bn

The Executive Board of the International Monetary Fund approved a request by the Colombian authorities to increase access under its current Flexible Credit Line (FCL) arrangement to 600% of Colombia’s quota, equivalent to $17.2 billion. The two-year arrangement remains in effect until April 30, 2022. The Colombian authorities intend to draw up to 187.5% of quota (about $5.3 billion) from the facility, as part of its financing plan for fiscal year 2020, in response to the COVID19 pandemic. Remaining FCL access will continue to be treated as precautionary.

Central Bank reduces benchmark interest rate to 1.75%

With a 4 to 3 vote, the board of directors of the Colombian Central Bank made the decision to reduce its benchmark interest rate again to 1.75 percent, the lowest historical level, due to the severe effects of the coronavirus pandemic caused in the economy. "The technical team of Banco de la República estimates that the economy will contract between 6 percent and 10 percent in 2020, "the board said in a statement.

AngloGold expects to produce copper in Jericho by 2025

The Quebradona underground copper mining project is being developed by the multinational AngloGold Ashanti in Jericó, southwest Antioquia. If approved by the National Environmental Licensing Authority (Anla), a four-year construction phase would begin, which would give way to the 21-year production phase, during which 5 mm tons of polymetallic concentrate of copper (80 percent), gold and silver would be extracted. The project is expected to generate up to $16,4 mm annually in royalties.