Colombia's Economy Grows Faster Than Expected in May, Driven by Services and Public Spending

The Colombian economy registered a 4.1% year‑on‑year expansion in May, surpassing market forecasts of around 2.9%. The growth was led by the services sector, which posted a 5.4% annual increase, and by public administration, health, education and entertainment, each rising 10.5% and together contributing 2.75 points to the overall indicator.

By contrast, primary activities such as agriculture and mining grew only 0.7% and secondary activities, including manufacturing and construction, advanced 0.5%. The monthly ISE (Economic Tracking Indicator) averaged a 2.8% rise from January to May, reflecting an uneven recovery that remains concentrated in tertiary activities.

Over the past decade Colombia’s GDP rose from roughly 800 trillion to 1.022 trillion Colombian pesos, an increase of more than 200 trillion pesos, with the most recent surge occurring in the last five years. The only major interruption to this trend was the COVID‑19 pandemic in 2020, after which growth resumed and remained stable from 2023 onward. Regional contribution to GDP has stayed largely unchanged, indicating that the recent expansion has not altered the country’s traditional economic structure.