Colombia Fiscal and Growth DPL 1

closed

The project development objectives (PDOs) of the First Fiscal Sustainability and Competitiveness Development Policy Financing (DPF) Project for Colombia are to: (i) support fiscal consolidation measures and improved contingent liabilities management; and (ii) foster productivity in non-extractive sectors by strengthening the policy framework for trade facilitation, investment, competition, business regulation, and innovation. The DPF series supports Colombia’s efforts to maintain fiscal sustainability and enable the basis to accelerate productivity growth in the context of the ongoing peace process and under a less favorable external environment. Sound macroeconomic and structural policies, coupled with favorable external conditions (up to mid-2014), enabled a strong broad-based growth and poverty reduction. Fiscal reforms are a central priority to maintain sustainability, including in light of the potential costs of the ongoing peace process. The authorities value the Bank’s programmatic policy-based financing for its continuity in its support to the institutional reform agenda and the technical support that is embedded in the design and preparation of this DPF series. The operation also builds upon the current peace and post-conflict agenda and is well-aligned with the objectives of the World Bank Group’s Colombia country partnership framework (CPF) FY2016-2021.