Colombia’s national economic statistics agency (Departamento Administrativo Nacional Estadistica, DANE) announced November 17 that third quarter (3Q) gross domestic product (“PIB” in Spanish initials) rebounded by 8.7% over second quarter (2Q) 2020.
While the sharp increase in GDP in the latest quarter is an encouraging sign, 3Q 2020 GDP is nevertheless down by 9% compared to 3Q 2019 — all because of the drastic shutdowns and cutbacks this year resulting from the Covid-19 pandemic.
Comparing 3Q 2020 with 3Q 2019, wholesale and retail sectors including motor vehicles, transport, tourism and food services collectively fell by 20% year-on-year, while construction dropped 26%, DANE noted. Mining and quarrying also fell by 19% year-on-year, the agency noted.
Expenditure on final consumption fell 7% year-on-year, while gross capital formation declined 18.3%, exports fell 24.1% and imports declined 21.1%, according to DANE.
On the upside, “compared to the immediately previous quarter, the [3Q 2020] Gross Domestic Product in its series adjusted for seasonal and calendar effects grew 8.7%,” according to DANE.
The big improvements in 3Q 2020 versus 2Q 2020 include the following changes, according to DANE:
• Manufacturing industries grew 23.4%.
• Wholesale and retail; repair of motor vehicles and motorcycles; transportation and storage; accommodation and food services grew by a collective 22.3%.
• Artistic, entertainment and recreational activities and other service activities, together with activities of individual households as employers collectively grew 12.3%.
In addition, 3Q 2020 gains over 2Q 2020 include these bright spots:
• Final consumption expenditure grew by 7.3%.
• Gross capital formation grew by 21.6%.
• Exports grew by 1.9%.
• Imports grew by 13.5%, according to DANE.