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LatinNews Regional Monitor: Andean Group - 16 November 2018
COLOMBIA: Duque battles internal revolt
Colombia’s President Iván Duque is wrestling with a rebellion not just from the ranks but also the top echelons of the ruling Centro Democrático (CD). The cause? His government’s attempt to push through congress a tax reform which ostensibly reduces value added tax (VAT) but, through broadening its application, effectively increases its burden on producers and consumers. The tax reform has especially upset agricultural producers in the central-west Eje Cafetero region, one of the main strongholds of CD support. The friction within the CD is jeopardising the passage of the 2019 budget which is partly predicated on the tax reform, moving Duque to describe it as “the biggest challenge” he has faced during his first three months in office.
