September 02, 2024 11:46 GMT
BanRep Cuts Reserve Requirements, Q2 Current Account, Manufacturing PMI Due
COLOMBIA
- On the data front today, the current account deficit is expected to rise to $2.11bn in Q2, from $1.92bn in Q1. Also today, manufacturing PMI data for August will be released at 1600BST(1100ET). In July, the PMI edged up to 50.0, from 49.8.
- 2Q Current Account Balance, est. -$2.11b, prior -$1.92b
- Meanwhile, BanRep has announced a cut in reserve requirements for bank deposits, as part of its 2022-2025 strategic plan, to contribute to the process of financial deepening of the economy. Reserve requirements for checking and savings accounts will be cut by 1ppt to 7%, while those for certificates of deposit of less than 18 months will also be reduced by 1ppt to 2.5%.
- Meanwhile, the government announced a hike in diesel prices by COP 1,904 per gallon starting August 31, in a bid to ease the fiscal deficit. The move will help it save COP1.6t this year, it said, and will add 0.3pp to inflation. Diesel prices had been frozen since January 2020.
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