Colombia confronts deep fiscal challenges as Petro government exits

Congressman Julio César Triana of Cambio Radical warned that the outgoing administration of President Gustavo Petro left Colombia with a deteriorating health system, rising public‑order violence and a historic surge in public debt. He noted nine health insurers under state control, debt to clinics exceeding 25 trillion pesos, a sharp rise in complaints, and a jump in municipalities with criminal groups from 250 to 809, as well as increases in armed personnel, extortion, kidnapping and terrorist incidents. Triana also cited the collapse of the "Mi Casa Ya" housing program and a fiscal deficit that grew from 3 trillion to more than 62 trillion pesos, making public debt the highest in the country’s history.

A separate report by the National Association of Financial Institutions (ANIF) warned that the incoming president, Abelardo De La Espriella, faces a "fiscal time bomb" in 2027. The analysis projects a primary deficit that could surpass 4 % of GDP if current spending patterns continue, requiring a deferral of about 63 trillion pesos to the next fiscal year. Debt‑service costs might rise to 4.2 % of GDP, pushing the total fiscal deficit to roughly 7.2 % of GDP. ANIF recommends strict austerity, tighter spending controls and clear fiscal discipline to restore market confidence and stabilize the nation’s finances.