Tax reform bill to include four environmental taxes

The current tax reform proposal to be passed to congress considers four green taxation mechanisms. The first is a carbon tax on fossil fuels and the second on fuel-powered vehicles such as motorcycles, cargo and public transport vehicles. From these, the Ministry of Finance expects revenues of $800 million (Co$2.9 billion). The other two seek an 8% tax on pesticides and $0.0005 (Co$ 2) per gram on single-use plastics.

1 bn in net profit for Grupo EPM in 2020

The state-owned Grupo EPM published yesterday its 2020 financial statement. Operation revenues grew by 8%, up to $5.4 billion (Co$ 19.8 billion), compared to 2019. About 87% of its operating income came from its energy-related portfolio. Its net profits rose by 19% to $1 billion (Co$ 3.7 billion), of which $386 million will directly be transferred to the municipality of Medellin.

$75 mn invesment in sustainable glass production in Colombia

American glassmaker, O-I Glass, Inc announced a significant investment to support strong customer demand for highly sustainable glass packaging. O-I will invest approximately $75 million in an expansion at its Zipaquirá, Colombia facility. Upon completion by the end of 2022, the project is expected to add nearly 2 percent of capacity to the company’s Americas segment and produce about 500 million bottles annually.

IMF Executive Board concludes 2021 Article IV consultation with Colombia

Directors took note of the temporary suspension of the fiscal rule to accommodate emergency spending to support the health care sector, households, and firms. Directors welcomed the planned fiscal reform and agreed that a return to the fiscal rule would safeguard the fiscal framework and anchor medium-term adjustment and public debt sustainability. In doing so, Directors stressed the importance of striking the right balance between flexibility and credibility