COLOMBIA · ECONOMY
Colombia’s government is studying another US$200 million loan from the World Bank, the global development lender, to pay for earthquake reconstruction, Finance Minister Miguel Gómez Martínez told a congressional committee on Wednesday 11 November 2026. He presented it as an option under review, not a decision.
For US investors in Colombian debt, the move shows how the state is financing recovery from the 10 August quake while holding a BB- foreign-currency credit rating, below the investment-grade tier lenders see as safer, from S&P Global Ratings, a US credit rating agency. It also arrives as lawmakers question how little of the reconstruction money has been put under contract.
Key Facts
- What The government is studying another US$200 million World Bank loan for earthquake recovery.
- When Finance Minister Miguel Gómez Martínez spoke to a congressional committee on Wednesday 11 November 2026.
- So far The World Bank paid out US$200 million on 13 August and approved US$200 million more on 24 September.
- Spending The Miracle Fund, the state reconstruction fund, reports about US$189 million approved but only about US$2.2 million in contracts.
- Power Index Colombia ranks 6th of 14 in The Rio Times Latin America Power Index, with 51.1 points (November 2026 edition).
In Plain English
The Miracle Fund (Fondo Milagro) is the state fund that manages Colombia’s earthquake reconstruction money. The joint committee is a panel of senators and representatives that reviews how the government handled the 10 August earthquake.
A Cat DDO (Catastrophe Deferred Drawdown Option) is a pre-agreed World Bank credit line that a country can draw on quickly after a disaster. The World Bank approved one for Colombia in February 2025, and it is now fully used.
What the Finance Minister Said
Gómez told the joint committee that his ministry does not run reconstruction but accounts for the budget resources available. He said the government does not rule out asking for another US$200 million from the World Bank to put more money into the Miracle Fund.
The committee, made up of senators and representatives, had also summoned Jaime Uribe, the fund’s manager, who did not attend and sent an excuse. His absence angered several lawmakers and prompted questions for the government.
How the World Bank Money Fits In
The World Bank Group said on 14 August that it had disbursed US$200 million the day before for the emergency response. The bank’s later release adds that a Cat DDO credit line it approved in February 2025 is fully disbursed.
On 24 September the bank approved US$200 million in additional financing for rapid budget support to reconstruction. Gómez said then that the financing “demonstrates confidence in Colombia and in the Government’s ability to respond responsibly during difficult times.”
Money Approved, Little Contracted
The Miracle Fund told Congress it has 624.7 billion pesos (about US$189 million at 3,307 pesos per US dollar on 11 November) approved. Of that, the fund says about 7.4 billion pesos (about US$2.2 million), or 1.2%, was in contracts.
Lawmakers voiced unease over the slow pace and the missing manager. Another loan would add money while the fund has contracted little of what it already has.
What It Means for You
Another World Bank loan would add to Colombia’s public debt. S&P Global Ratings cut the country to BB- from BB on 8 April 2026 and rates its outlook stable, meaning no further change is expected soon.
Travellers face no new rules from the proposal, which concerns financing and not safety. Anyone relying on quake-zone services should watch whether reconstruction contracts speed up.
What Is Not Known
It is not known whether or when the government will formally apply for the new loan, or on what terms. The terms of any new loan, such as the interest rate and repayment period, have not been made public.
More: Colombia news in English, every day from The Rio Times. Earlier coverage: why the Miracle Fund stalled, the first count of the earthquake’s toll and how reconstruction lending began.
Frequently Asked Questions
Is Colombia taking another World Bank loan for the earthquake?
Not yet. On 11 November 2026 Finance Minister Miguel Gómez Martínez said the government does not rule out asking for another US$200 million.
How much has the World Bank already provided?
The World Bank Group said it disbursed US$200 million on 13 August for the emergency response. On 24 September it approved US$200 million in additional financing for reconstruction.
What is the Miracle Fund?
It is the Colombian state fund set up to run earthquake reconstruction, known in Spanish as Fondo Milagro. It reports 624.7 billion pesos (about US$189 million) approved and about 7.4 billion pesos (about US$2.2 million) in contracts.
Why does the loan matter to investors?
It would add to the state’s debt at a time when S&P Global Ratings, a US credit rating agency, rates Colombia’s foreign-currency debt BB-. That is below investment grade, the level that signals higher risk to lenders.
Sources: World Bank Group, press release of 24 September 2026 and statement of 14 August 2026; Colombian Congress, joint committee session of 11 November 2026; S&P Global Ratings, sovereign rating of Colombia, 8 April 2026; USD/COP close of 11 November 2026: 3,307.
In depth
This article was produced by The Rio Times’ automated AI newsroom. Editorial responsibility: Matthias Camenzind, Publisher and Editor-in-Chief. The Rio Times also runs Ask Rio Times, which answers from 100,000+ of our own articles, the daily Latin America Power Map, and prediction-market odds on elections and markets.. How we use AI · Report an error