LatinNews Regional Monitor: Andean Group - 30 October 2019

* Standard & Poor’s (S&P) has affirmed its ‘BBB-’ long-term foreign currency and ‘BBB’ long-term local currency sovereign credit ratings for Colombia. S&P’s announcement follows concerns that the recent ruling by the constitutional court that the approval of last year’s tax reform (Ley de Financiamiento) by congress was unconstitutional could affect the country’s credit rating. The constitutional court has given the Colombian government until 1 January 2020 to get a new tax reform through congress, after which any other legislation linked to the Ley de Financiamiento, including the 2020 national budget, will be deemed invalid. A new tax reform is currently being debated by Colombia’s congress and it is not clear if it can be approved before the end of the year. S&P has said that its outlook on Colombia’s credit rating remains ‘stable’ and that it trusts that a new tax reform will be approved.

End of preview - This article contains approximately 147 words.

Subscribers: Log in now to read the full article

Not a Subscriber?

Choose from one of the following options

• Subscribe
• Sign up for a one-time, 14-day trial