00:06 GMT +323 October 2018
Listen Live
    Colombia's President Juan Manuel Santos (L) and Colombian First Lady Maria Clemencia de Santos arrives at congress to present the FARC peace accord to the Colombian Congress in Bogota, Colombia, August 25, 2016.

    FARC Peace Accord to Benefit Colombia’s Economy - Fitch

    © REUTERS / John Vizcaino
    Latin America
    Get short URL
    0 31

    Successful implementation of the peace deal reached with the Revolutionary Armed Forces of Colombia (FARC) guerrilla group will benefit Colombia’s economy in the medium to long term, Fitch Ratings agency said in a press release on Friday.

    WASHINGTON (Sputnik) — On Wednesday, the Colombian government and FARC announced a comprehensive peace agreement to end decades of conflict. The deal includes agreements on landmine removal, land reform, transitional justice and the end of illegal drug trafficking.

    "Investment and growth could increase over the medium term, as areas that were formerly in conflict zones attract investment in mining and agriculture," the release stated.

    Long term, Fitch explained that Colombia must focus on a tax reform proposal to compensate for oil revenue losses and to replace current taxes that will expire in 2018.

    The agency noted that Colombia will need to rebuild its revenue base in the near term to accommodate investment without jeopardizing fiscal consolidation.

    FARC was formed in 1964 as the military wing of Colombia's Communist Party.

    Related:

    Columbian Peace Deal With FARC Rebels | Trump Hosts UKIP’s Nigel Farage
    One of World's Longest-Running Wars to End With Colombia-FARC Peace Deal
    US to Remain Colombia’s Steadfast Partner After Final Peace Accord With FARC
    Tags:
    Fitch, FARC, Colombia
    Community standardsDiscussion
    Comment via FacebookComment via Sputnik
    • Сomment