Colombia – Peso reaches record highs against dollar

BOGOTA – Colombia’s peso reached yesterday its strongest levels since the end of March 2000 closing at 1,955 against the dollar.

The peso surged after Colombia’s central bank decision to hike its key interest rate on Friday by 25 basis.

Colombia’s peso has strengthened 11.7 percent this year and 21.8 percent over the last 12 months. Coffee exporters of are worried since this considerable surge is affecting their competitiveness on the global market and cutting earnings. President Alvaro Uribe has pushed for his economic team to consider more measures to help curb the currency.