Colombia exchanged internal public debt for $ 529.5 million, an operation with which it reduced expected maturities for the next two years as part of its strategy to avoid increasing its indebtedness, the Ministry of Finance reported on Friday . The Government collected TES local debt securities that matured in 2021 and 2022, in exchange for papers with maturation in several years between 2027 and 2037. "The operation reduced TES amortizations by $177 million in 2021 and by $344 million in 2022, reducing the risk of refinancing," the ministry explained in a statement.
At the end of October 9, 2020, Foreign Direct Investment that arrived in Colombia totaled $ 5,542 million, a variation of -26% compared to the $ 7,550 million reported by the Colombia´s central bank a year ago. Throughout 2019 the total foreign investment was $ 10,366 million, which shows that it will be difficult for the country to reach a similar balance in 2020, instead possibly reaching $6 billion by the end of 2020.
The Banco de la República reported that Colombian abroad sent remittances into the country for $644.3 million in September of this year, an increase of 16.15% compared to $ 554.7 million registered in the same month of 2019. Between January and September 2020, Colombians abroad sent remittances to the country for $ 4,964.7 million, 0.52% less than those registered in the same period last year ($ 4,990.8 million). However, in the third quarter of the year, remittances increased by 6.15% ($ 1,884.4 million vs $ 1,775.2 million in 2019). Spain, the United States, Venezuela, the United Kingdom and Chile are some of the countries with the highest participation in sending remittances.
According to an analysis by BN Paribas, foreign appetite for Colombia's public debt increased during the month, with an increase in securities reaching $ 21,400 million. Non-residents now have 24.2% of Colombia's public debt or 40.2% of the country's international reserves. In addition, public debt securities of commercial banks fell 1.6% compared to August 2020 and reached $ 12.6 billion. Pension funds and the public sector reduced their holdings of securities during the last month by -0.2% and 1.0%, respectively. Total debt remained unchanged in September and reached 54.5% of GDP, an increase of 10.7 pps since March 2020. Colombia's domestic public debt increased to $ 88.5 billion on average in September, an increase of 1.3% month-on-month and 7.9% year-on-year. Debt denominated in hard currencies now stands at 20.5% of GDP.
Sixteen companies are qualified to bid in Colombia’s auction of four onshore oil blocks later this year, the national hydrocarbons agency (ANH) said on Friday. The ANH received 19 submissions from companies interested in bidding in the upcoming auction. Of the companies allowed to take part in the auction, 15 were previously authorized. French company Maurel & Prom was the only successful new company. Bids on the four blocks will be made at the end of october 2020.