Oil-exporting Colombia has seen a decline in its currency (the peso) and inflation is ticking upward. But from looking at the Bolsa de Valores de Colombia (BVC), its main stock exchange, one would not know the economy is treading on somewhat thin economic ice. The BVC is seeing an increase in volumes, heightened regional and international interest and rising equity prices (which are trending towards 12%) this year. Juan Pablo Cordoba, president of the BVC, spoke to Emerging Market Views while in New York recently about the market and why international investors can and should come to the BVC.
“Colombia is doing its homework very well,” Cordoba said. “Colombian equities are performing.” This year, the MSCI Colombia Index is up 15% year to date with the country’s largest bank (Bancolombia) seeing a 20% increase in depository receipts.