The Central Bank of Colombia’s Board of Directors has approved a program to gradually accumulate up to USD 4 billion in international reserves, strengthening the country’s external liquidity buffer against international financial market shocks. The precautionary program will use monthly put-option auctions, with options exercisable only when the market exchange rate falls below its 20-business-day moving average. Auction amounts will be announced for each operation, and participants will pay a premium set through a uniform-price auction. The exercise price will be the market exchange rate in effect on the exercise date. The central bank will use the instruments needed to keep the economy’s short-term interest rate aligned with the Board’s policy rate. The first auction, capped at USD 400 million, will take place on Aug. 3, 2026. Awarded options may be exercised from Aug. 4 through Aug. 31, 2026, if the exchange-rate condition is met.
Central Bank of Colombia2026-07-31
Central Bank of Colombia launches program to accumulate up to USD 4 billion in international reserves
The Central Bank of Colombia will gradually accumulate up to USD 4 billion in international reserves through monthly put-option auctions. The first auction, capped at USD 400 million, is scheduled for Aug. 3, 2026, with exercise conditional on the market exchange rate falling below its 20-business-day moving average.