Gran Colombia's first foreign loan, contracted in London in 1822, shaped decades of public debt
A piece by El Pilón reviews the origins of Colombia's foreign borrowing: after independence from Spain, achieved militarily in 1819 and consolidated with the victory at Carabobo in 1821 and the southern campaign, the new state faced needs such as funding the army, running public administration, rebuilding the war-hit economy and organizing the Republic's institutions. With insufficient national revenues, the first foreign loan was contracted in London in 1822 during Francisco de Paula Santander's government, the origin of a debt that would weigh on public finances for decades.
In 40 seconds
- After independence, the new state had to fund the army, public administration and economic reconstruction.
- National revenues were insufficient and the war had destroyed part of the productive and tax capacity.
- In 1822, under Francisco de Paula Santander's government, the first foreign loan was contracted in London.
Read the full story at El Pilón
IASummary generated by artificial intelligence from a story by El Pilón. It may contain errors: the original source prevails.
Comments
Be respectful. Comments reported by several people are hidden until a moderator reviews them.
You do not need an account to read, only to comment. Sign in with a code sent to your email or with your Google account. We only show the name you choose, never your email.