Colombia Congress Passes 634.9 Trillion Peso Budget, Cuts Peace Court Funding

Colombian lawmakers approved spending distributions for next year's 634.9 trillion peso ($201.14 billion) budget on Tuesday, trimming funding tied to a 10-year-old peace agreement while raising debt service payments. The budget projects a 2027 fiscal deficit of 9.4% of GDP, up sharply from this year's 555.8 trillion peso plan. It allocates 141 trillion pesos, about $45 billion, for debt repayment, versus roughly $30 billion in 2026. The lower house passed the bill 112-1 and the Senate 57-1. The Finance Ministry said funding for the Special Jurisdiction for Peace (JEP), the court created under the 2016 FARC peace deal, was cut by about 181 billion pesos — 23% of its budget — with the money reassigned to the defense ministry. The Search Unit for Disappeared People saw its operational budget cut nearly 22%. Both bodies warned the reductions will curb investigations, exhumations and victim support. The larger budget comes as Colombia struggles to restore public finances; debt is expected to rise this year and next, moving the country further from the investment-grade rating it lost in 2021.