![Colombia secures $1.2 billion in loans to finance budget, peace plans](https://i-invdn-com.investing.com/trkd-images/LYNXNPEK1B0KG_L.jpg)
© Reuters. FILE PHOTO: An aerial view of Bogota metropolis, Colombia, June 10, 2018. REUTERS/Andres Stapff/File Photo
BOGOTA (Reuters) – Colombia has reached mortgage agreements value greater than $1.2 billion with multilateral lenders, the finance ministry stated, including sources will go towards funds objects this yr and prices related to peace plans.
The ministry has signed two mortgage agreements value 300 million euros ($323 million) every with German state growth financial institution KfW, the ministry stated in an announcement on Monday.
“These loans will contribute to financing the projects in the budget approved by Congress and highlights the cooperative agenda that Colombia has had with Germany for many years concerning peace and development,” the ministry stated in an announcement.
The ministry additionally agreed a mortgage value $663 million with the Inter-American Development Bank – which contributed $500 million – and KfW contributed 150 million euros.
Earlier this month, the federal government raised its fiscal deficit purpose to five.3% of gross home product this yr, up from the earlier estimate of 4.5% of GDP, citing the necessity for contra-cyclical spending to spice up progress.
($1 = 0.9277 euros)