Introduction
The United States has solidified its position as the leading foreign direct investment (FDI) investor in Colombia, outpacing China by a significant margin. According to the latest report from Banco de la República, the U.S. invested approximately 37 times more than China in 2024.
Investment Breakdown
The U.S. contributed a substantial 5,508 million dollars in FDI to Colombia, while China’s investment stood at a mere 150.2 million dollars. This results in a difference of 5,358 million dollars between the two countries. China does not even rank among the top five FDI investors in Colombia.
- First place: United States – 5,508 million dollars
- Second place: Spain – 2,793 million dollars
- Third place: Anguila – 1,580 million dollars
- Fourth place: Panama – 1,199 million dollars
- Fifth place: Switzerland – 575 million dollars
In total, FDI generated 14,234 million dollars for Colombia. However, the fourth quarter alone saw an influx of 4,352 million dollars. Compared to the previous year (2023), there was a decrease of 2,559 million dollars.
Key Sectors of Investment
The majority of FDI went to the financial and business services sector, totaling 4,395 million dollars. The second-largest recipient was the mining and oil sector, which received 3,589 million dollars.
- Financial and Business Services: 4,395 million dollars
- Mining and Oil: 3,589 million dollars
- Manufacturing: 1,974 million dollars
- Trade, Restaurants, and Hotels: 1,814 million dollars
U.S. Concerns Regarding China’s Growing Influence
The U.S. has expressed concern over Colombia’s increasing proximity to China following its formal adherence to the New Silk Road initiative. The Bureau of Western Hemisphere Affairs at the U.S. Department of State has opposed disbursements from the Inter-American Development Bank (BID) and other international financial institutions that would facilitate Chinese state-owned enterprises’ expansion in Colombian territory.
China’s primary areas of interest in Colombia include infrastructure development, particularly port and road projects through the 4G highways.
A notable example is the Autopista al Mar 2, part of the 4G highways program. Although initial announcements about Chinese investment in this road corridor date back to before the Petro administration, China Harbour Engineering Company’s involvement solidified Chinese presence in strategic infrastructure sectors.
In 2019, the project secured financing worth 652 million dollars, with 418 million dollars coming from China Development Bank and 84 million dollars from Sumitomo Mitsui Banking Corporation. These developments underscore China’s growing presence in Colombia’s strategic infrastructure sectors.
Key Questions and Answers
- Q: Who is the leading FDI investor in Colombia? A: The United States is the leading FDI investor in Colombia, contributing 5,508 million dollars in 2024.
- Q: How much did China invest in Colombia in 2024? A: China invested 150.2 million dollars in Colombia in 2024.
- Q: What are the primary sectors receiving FDI in Colombia? A: The financial and business services sector and the mining and oil sector are the main recipients of FDI in Colombia.
- Q: What concerns does the U.S. have regarding China’s growing influence in Colombia? A: The U.S. is concerned about China’s expanding presence in strategic sectors, such as infrastructure, through investments facilitated by international financial institutions.
