Colombia: Revealed

Aired June 2008

A nation of wild beauty, mystery and drama.
One of the most stimulating and most passionate countries on earth…
And also one of the most misunderstood.

This is the story of a new Colombia…
Of the dreams and challenges driving its people…
Of political and social struggle and triumph.
How can a country with an international reputation of narcotrafficking and terrorism…
Plagued by the largest and longest-running insurgency on the planet…
Become one of Latin America’s strongest economies…
And one of the United States’ biggest allies?
Can this country of almost 50 million people survive its headlong journey into the future
Forget any negative images…
This is Colombia…revealed.

The Republic of Colombia covers almost 710,000 square miles, roughly the size of California and Texas combined. It occupies the northwestern part of the continent, with coasts on both the Pacific and Caribbean oceans. It is bordered by Panama, Venezuela, Brazil, Peru, and Ecuador. The capital city is Bogota.

Vibrant cities, elegant port towns, and spectacular national parks are only the tip of the iceberg. Colombia is also the second-largest economy of the Andean region, and stands out among other countries in Latin America due to a positive outlook on its economic behavior. Beyond the headlines is a thriving country with a rising middle class, some of the best social services in the continent, and an improved level of security.

At the start of the 21st century a new government was led by President Alvaro Uribe, an ultranationalistic right-winger and a strong ally to the United States and George W. Bush. He has created a new environment for Colombia, now ranking it as one of the most stable economies America has ever partnered with. Despite his obsession with law and order, the economy and the pursuit of foreign investment are never far from President Uribe’s mind.

On November 2006, the United States and Colombia signed the U.S./Colombia Trade Promotion Agreement. Both countries need to pass implementing legislation before this bilateral trade agreement can enter into force. However, the prospect of free trade has been a factor in the renewed US business interest in Colombia.

While President Uribe’s campaigns and policies have been considered controversial, it cannot be denied that Colombia is turning a sharp corner in bringing political and macroeconomic stability to its citizens. But only a decade ago, Colombia was a near failing state. Marxist guerillas were pitted against right-wing death squads, violence and drugs were rampant, citizens were fleeing the country, and economic activity was plummeting.

Since President Uribe’s re-election in 2006, homicides have gone down by 40%, acts of terror by 66% and extensive kidnappings by 79%. These are very encouraging numbers. Equally important, the job market has widened and international investment has almost doubled in the last few years.

The country is witnessing its strongest economic boom in decades and has the potential to be an even greater place to do business. Clearly, a golden opportunity for foreign investors.

OIL

The Zona Cafetera. Home to Colombia’s best-known legal export: coffee. With just the right combination of altitude and rainfall, the terraced slopes of the Zona Cafetera yield nearly half of the country’s coffee output. Colombia is second only to Brazil in global coffee production.

Hundreds of kilometers eastward, in the vast plains and grasslands known as the Los Llanos basin, something else is coming out of the ground: oil. Colombia’s energy resources could be the ticket to a stronger economy, and the government is ready to harness the sector’s full potential.

Having been a modest oil exporter for two decades, Colombia faces becoming a net importer unless new discoveries are made. But the state oil company, Ecopetrol, does not have the proper capital necessary for sustained economic programs. For this reason, the government liberalized the hydrocarbon law to attract foreign companies by offering them a percentage of production from any discoveries made.

But with all the multi-million dollar foreign oil companies covering every potential field in the country, one cannot help but wonder how this affects local communities in oil-rich areas.

This is the small, sleepy town of Puerto Gaitan in the province of Meta, a town just like any in the Los Llanos basin. It’s in places like this where oil companies perform as an agent for sustainable human development through several social and infrastructural initiatives. Hupecol has been established in Colombia for 10 years already and has `major exploratory activities in the region.

INDUSTRY

The city of Medellin in the province of Antioquia. Once synonymous with drugs and violence, it is now one of the safest cities in Latin America. Its people, also called paisas, are very proud of their fresh, vibrant and prosperous city. Medellin is also considered to be the cultural capital of the country, and with mild temperatures year-round, it deserves the nickname “City of Eternal Spring.”

Medellin’s considerable progress and dynamic economy is due in part to a huge textile industry. Medellin accounts for over 50 percent of total textile production, and is indicative of the large trade and industry boom in Colombia. With more jobs come more disposable income and a upward growth in the nation’s retail sector.

The greater strength of Colombia is its human capital. In all areas, the Colombian workforce is an example of perseverance, professionalism and commitment. There’s an excellent entrepreneurial spirit that isn’t common to find in Latin America, and for many foreigners coming to Colombia for the first time, business culture shock simply does not exist.

The Museo del Oro in Bogota. The world’s greatest collection of gold in the land of the fabled El Dorado. Gold has played a very important role in the history of Colombia. For Andean Indians, it was never a measure of wealth or a medium of exchange, only a beautiful, enduring material. To the Spaniards, finding gold was their primary objective that later became an obsession.

Today, wealth in Colombia is measured in the local currency: Colombian pesos. The country’s financial system is well developed by regional standards

TOURISM

Colombia’s capital market is underdeveloped, but it continues to grow. In 2001, stock exchanges in Bogota, Cali and Medellin were merged to create the Colombia Stock Exchange, or the Bolsa de Valores Colombia, located in Bogota. Market capitalization continues to rise, thanks in part to new capital markets legislations enacted in 2005.

Colombia’s economic miracle has resulted in its citizens’ confidence in property investments. But this was not always the case. Between 1999 and 2003 Colombia suffered an economic recession that made many Colombians lose their homes and assets. These days, the outlook is very good.

Cartagena de Indias. One of the Americas’ greatest cultural treasures. Ironically, its magnificent fortifications, built to repel invaders, now attract armies of tourists. You can almost smell the history here, as well as the flowers tumbling from a thousand balconies into the city’s narrow streets. It is just one of the many places in Colombia that are not to be missed.

But Colombia is still far from being on anyone’s must-see list. How can one of the most beautiful and welcoming of countries have a weak number of foreign visitors?

Colombia is a magical country. Full of colors… of flavors… of places… of music. And good people. Kind and happy people. Colombians who love their land and do everything possible for everyone else to fall in love with it. So much so, that the government has launched a successful campaign to promote the country, called “Colombia is Passion.”

Many people know nothing about this country. But when you come to Colombia, you will realize that what you experience is not enough to describe the beauty and the passion of the country and its people. “El riesgo es que te quieras quedar.” The only risk is wanting to stay. After a while, you will discover that you do not want to be anywhere else.