Regional Economic Bulletin: Southwest, third quarter of 2025
The Regional Economic Bulletin is published by the Regional Economies Section of the Technical and Economic Information Department at Banco de la República. The views and potential errors are the sole responsibility of the authors and do not compromise Banco de la República or its Board of Directors.
During the third quarter of 2025, the southwest region’s economy grew, driven by retail consumption supported by remittance inflows and increased access to credit. Manufacturing showed progress associated with inventory adjustments and higher exports, which in turn stimulated the import of inputs in a context of appreciation of the peso. Agriculture expanded due to favorable weather conditions and increased financing, while the livestock sector responded to strong demand. In contrast, a decrease was observed in residential construction and new housing sales. Inflation rebounded amid higher food and goods prices, partially offset by reductions in regulated prices.
Domestic consumption increased, supported by a greater flow of remittances and access to credit, which stimulated purchases of durable goods, particularly motorcycles and technological equipment. This performance emerged within the context of declining unemployment and improved consumer confidence, despite a rebound in inflation due to higher food and goods prices.
Agricultural production increased due to favorable weather conditions and greater financing availability, with higher shipments of tubers, vegetables, and coffee. However, the high input costs and the crisis in the potato sector constrained progress. Regarding livestock activity, milk collection and cattle and pig slaughter increased, supported by a stable demand, although pressured by rising production costs.
Regional manufacturing grew due to higher orders for motorcycles, textiles, and apparel, as well as food and beverages, along with the increase in agro-industrial exports. This performance stimulated imports of raw materials to supply production processes, favored by appreciation of the peso and a dynamic domestic demand.
Regional Economic Bulletin published to date (since 2025)
In order to present this content to the English-speaking public, since 2025 Banrep has been providing translations of the summaries. The full document, as well as the interactive bulletin, are published only in Spanish.
