A magnitude 7.4 earthquake struck western Colombia at 7:34 a.m. local time on August 10, with an epicenter about 3 miles (5 kilometers) east of San José del Palmar in the department of Chocó, roughly 150 miles (241 kilometers) from Bogotá, according to the US Geological Survey and Colombia’s Servicio Geológico Colombiano (Colombian Geological Survey). The quake originated at a depth of more than 100 kilometers, classifying it as a deep intraslab event tied to the Nazca Plate’s subduction beneath the South American Plate. Tremors were felt as far away as Panama, Venezuela, Ecuador, and Peru.

As of August 12, Colombian authorities had confirmed more than 188 deaths, over 1,600 injuries, 222 people missing, and 260 people still trapped in debris, according to the Unidad Nacional de Gestión del Riesgo de Desastres (National Disaster Risk Management Unit, UNGRD) and figures reported by El Tiempo; earlier tallies from the UN Office for the Coordination of Humanitarian Affairs (OCHA) put damaged homes at close to 5,000, with 61 buildings collapsed and more than 550 schools and 24 health facilities affected across roughly 16 departments. Chocó, Valle del Cauca, Caldas, Risaralda, and Quindío sustained the heaviest damage. President Abelardo De La Espriella declared a national disaster, invoked an economic emergency, and decreed three days of national mourning.

Colombia’s Foreign Ministry, the Cancillería, installed an international cooperation command post led by Foreign Minister Omar Bula to field and coordinate offers of assistance from foreign governments and multilateral organizations. Vice President José Manuel Restrepo said more than 12 countries had formally pledged humanitarian aid or rescue personnel, and that multilateral institutions alone had presented cooperation proposals totaling $1.3 billion USD in assistance of various kinds. “We have already received proposals worth $1.3 billion USD in cooperation of various kinds from multilateral organizations in the midst of this tragedy,” Restrepo said.

“We have already received proposals worth $1.3 billion USD in cooperation of various kinds from multilateral organizations in the midst of this tragedy.” — José Manuel Restrepo, Vice President of Colombia

United States

The US Department of State said it mobilized an initial $15.5 million USD in emergency shelter, food, and protection assistance, along with post-earthquake structural assessments, according to an August 11 media note from the department’s Office of the Spokesperson. The funding is being channeled through five partner organizations: Catholic Relief Services (CRS), the International Organization for Migration (IOM), Miyamoto International, the UN World Food Programme, and World Vision. Of the total, $3 million USD routed through CRS draws on funding already committed under a separate, previously announced global assistance award to that organization, meaning it does not represent new incremental spending beyond what State had already budgeted for CRS programming.

The department also activated a Disaster Assistance Response Team (DART), a standing mechanism of humanitarian specialists drawn from across the State Department, with members arriving in Colombia the day of the earthquake to coordinate needs assessments and the broader US government response alongside embassy personnel in Bogotá.

Separately from the new $15.5 million USD package, the State Department noted that as part of its existing $3.8 billion USD contribution to OCHA, the United States had previously provided $200 million USD to the Colombia Pooled Fund, a standing mechanism OCHA can draw on for earthquake-related needs as well as humanitarian programming in Colombia that predates the earthquake. That $200 million USD figure reflects prior funding availability rather than a new pledge tied specifically to the August 10 disaster.

On consular matters, the US Embassy in Bogotá remained open and continued providing emergency and routine passport, notarial, and consular services; its consular agency in Barranquilla also remained open. The embassy advised American citizens in Colombia to enroll in the Smart Traveler Enrollment Program (STEP) at step.state.gov and to follow [@USEmbassyBogota](profile/USEmbassyBogota) and [@TravelGov](profile/TravelGov) on social media for security updates. US citizens seeking assistance can reach the Bureau of Consular Affairs at 888-407-4747 from within the United States, or +1-202-501-4444 from other locations.

Multilateral development banks

The World Bank disposed $200,000 USD in a non-reimbursable grant, without an associated credit line, to fund post-earthquake damage assessments. Susana Cordeiro Guerra, the World Bank’s vice president for Latin America and the Caribbean, offered technical expertise drawn from the institution’s experience responding to disasters elsewhere, in addition to the grant.

The Inter-American Development Bank (IDB) approved $500,000 USD in non-reimbursable technical cooperation funding, of which $350,000 USD was made immediately available to the Colombian Red Cross and $150,000 USD earmarked for technical support, Restrepo said. Separately, IDB Group President Ilan Goldfajn said the institution has up to $300 million USD in contingent emergency financing available to Colombia should the government request it; wire reports including CNBC and CBC cited a related figure of $50 million USD as immediately available for reconstruction support, reflecting different tranches or reporting of the same contingent facility.

CAF, the Banco de Desarrollo de América Latina y el Caribe (Development Bank of Latin America and the Caribbean), pledged $500,000 USD in humanitarian donations to be channeled through its Social and Human Development Funds, CAF executive president Sergio Díaz-Granados said.

European Union

European Commission President Ursula von der Leyen announced €2.1 million EUR in humanitarian funding for health, water, sanitation and hygiene, shelter, food, protection, and cash assistance in the hardest-hit areas, according to the European Civil Protection and Humanitarian Aid Operations department (ECHO). The European Union activated its Civil Protection Mechanism, which pools resources among the bloc’s 27 member states, and deployed its Copernicus satellite mapping service to support damage assessment. A further €100,000 EUR was reallocated from an existing EU-funded project implemented by the German Red Cross to meet immediate needs of roughly 2,500 families in Chocó and Valle del Cauca.

Switzerland

The Swiss government approved 1 million CHF (about $1.23 million USD) in aid, with half directed to the UN World Food Programme and local nongovernmental organizations for emergency assistance and the remainder allocated to restoring living conditions in destroyed areas, according to the Swiss Agency for Development and Cooperation. Swiss President Guy Parmelin offered solidarity with Colombia the day of the earthquake.

Spain

Spain’s Agencia Española de Cooperación Internacional para el Desarrollo (Spanish Agency for International Cooperation for Development, AECID) mobilized an initial €1 million EUR package covering shelter materials, water and sanitation kits, medication, and support for deployed health personnel, Foreign Minister José Manuel Albares said. Spain’s Ministry of Foreign Affairs reported no confirmed Spanish fatalities as of August 12, though it had not yet located 75 Spanish nationals believed to have been in the affected region.

El Salvador

El Salvador’s president, Nayib Bukele, dispatched two aircraft carrying 100 tons of humanitarian aid along with medical and rescue teams, according to the Presidencia de la República de El Salvador (Presidency of the Republic of El Salvador).

Ecuador

Ecuador’s Ministerio de Relaciones Exteriores y Movilidad Humana (Ministry of Foreign Affairs and Human Mobility) sent 47 rescuers with canine units and equipment provisioned for seven days of operations.

Mexico

Mexico deployed 255 specialized military search-and-rescue personnel, including canine handlers and medical staff, along with 4 tons of medications, 8.4 tons of food, satellite phones, radios, generators, and tents, according to Mexico’s Secretaría de Relaciones Exteriores (Ministry of Foreign Affairs).

Peru

Peru sent a plane carrying 12.5 tons of supplies and 62 rescuers through its Ministerio de Relaciones Exteriores (Ministry of Foreign Affairs).

Chile

Chilean President José Antonio Kast offered his government’s civil and technical resources through Chile’s Ministerio de Relaciones Exteriores (Ministry of Foreign Affairs), without publicly specifying the scope.

Venezuela

Venezuela’s government, through Vice President and Foreign Minister Delcy Rodríguez and the Ministerio del Poder Popular para Relaciones Exteriores (Ministry of People’s Power for Foreign Affairs), said it would send rescue brigades, an announcement that drew domestic criticism within Colombia given the state of bilateral relations.

Brazil

Brazilian President Luiz Inácio Lula da Silva pledged solidarity and said logistical and technical teams were on standby through Brazil’s Ministério das Relações Exteriores (Ministry of Foreign Affairs).

Argentina

Argentina’s Ministerio de Relaciones Exteriores, Comercio Internacional y Culto (Ministry of Foreign Affairs, International Trade and Worship) offered material assistance, civil protection assets, and logistics support.

Additional Latin American and Caribbean support

Several other countries in the region conveyed solidarity or more limited offers of support:

• Panama — President José Raúl Mulino offered collaboration “within our capacity” through the Ministerio de Relaciones Exteriores de Panamá (Ministry of Foreign Affairs of Panama).
• Costa Rica — The government conveyed solidarity through its Ministerio de Relaciones Exteriores y Culto (Ministry of Foreign Affairs and Worship).
• Dominican Republic — President Luis Abinader said his country stood ready to provide assistance, coordinated through the Ministerio de Relaciones Exteriores de República Dominicana (Ministry of Foreign Affairs of the Dominican Republic).
• Guatemala — The disaster-response agency, the Coordinadora Nacional para la Reducción de Desastres (National Coordinator for Disaster Reduction, Conred), remained in contact with Colombian counterparts to determine whether a formal request for assistance would follow, President Bernardo Arévalo de León’s government said.
• Cuba — Expressed willingness to help without publicly detailing specific commitments.
• Bolivia — Expressed willingness to help without publicly detailing specific commitments.

Other countries

Vice President Restrepo named Japan, Sweden, and Turkey among the more than 12 governments that formally offered humanitarian aid or rescue support, though itemized figures for their pledges were not publicly available as of this writing. Israel, France, Germany, Italy, and Ukraine also expressed readiness to coordinate assistance, according to Colombian media reporting, without confirmed dollar figures attached to those offers.

Red Cross and Red Crescent movement

The International Federation of Red Cross and Red Crescent Societies (IFRC) launched an emergency appeal for 11.7 million CHF to support the Colombian Red Cross, which activated its National Crisis Room and deployed a 30-member urban search-and-rescue team from its Antioquia branch to Chocó, alongside volunteers from its Quindío and Caldas branches. The Colombian Red Cross also activated its Restoring Family Links service to help reunite people separated from missing relatives.

Private sector

Among corporate contributions, Spanish bank BBVA (BME: BBVA) (NYSE: BBVA) said it would provide 3,500 food and hygiene kits, including nonperishable staples and personal care items, distributed through Colombia’s regional food bank network.

How to contribute

Colombian donors and members of the international community seeking a vetted local channel for contributions can direct support through somosone.com.co, the Colombian strategic-philanthropy platform operated by ONE Inversión Social. The organization has partnered with Sankofa Danzafro, La Pascasia, and Presentes Corporación on a Chocó-focused relief campaign, with a donation page linked from the platform’s homepage.

The third-quarter EBITDAR represents a 15.5% year-over-year increase from the $356 million USD reported in Q3 2024. Total operating revenues reached $1,509 million USD, marking a 12.8% increase compared to the $1,338 million USD recorded in the same period of the prior year. Total operating costs increased by 13.3% year-over-year, settling at $1,290 million USD. Net income for the quarter was $101 million USD, an improvement from $72 million USD in Q3 2024.

Operational and Capacity Metrics

Capacity, measured in Available Seat Kilometers (ASKs), reached 18,284 million, denoting a 6.8% increase compared to Q3 2024. This growth was attributed primarily to a 6.2% year-over-year increase in Stage Length. Passenger departures increased 1.0% year-over-year. The company transported 9.7 million passengers, consistent with the volume in the comparable period of 2024. The network encompassed 169 routes serving 83 destinations across 28 countries. Subsequent to the quarter’s close, Avianca introduced three new international routes, which included Belém (Brazil) and Monterrey (Mexico).

Cost performance for the quarter indicated a reduction in overall per-unit costs. Total Passenger CASK (Cost per Available Seat Kilometer) was 5.7 cents, a 1.9% decrease relative to Q3 2024. This decline was largely driven by Passenger Fuel CASK, which decreased 9.9% to 1.7 cents, resulting from lower fuel prices and increased fuel efficiency. Passenger CASK excluding fuel increased 2.1% year-over-year to 3.9 cents.

Balance Sheet and Credit Rating Actions

As of September 30, 2025, Avianca reported liquidity totaling $1,361 million USD, which represented 24.2% of last-twelve-month revenue. This total includes a cash balance of $1,161 million USD and $200 million USD available through an undrawn Revolving Credit Facility. The Net Debt to last-twelve-month EBITDAR ratio improved sequentially to 2.8x from 2.9x reported on June 30, 2025.

Rating agencies Moody’s and Fitch  upgraded Avianca’s credit ratings to B1 and B+ respectively. Both rating actions were assigned a stable outlook.

Business Unit Performance and Network Development

The cargo division, Avianca Cargo, recorded $157 million USD in revenue during Q3 2025, representing a 14.1% year-over-year increase. The operating freighter fleet currently consists of nine Airbus A330s, following the integration of two additional P2F aircraft during the quarter.

The loyalty program, LifeMiles, reported a 72% year-over-year increase in Q3 2025 Third-Party Cash EBITDA, reaching $77 million USD.

In network strategy, AGIL expanded its Business Class service to 54 additional routes from key operational centers including Bogotá (Colombia), Medellín (Colombia), San Salvador (El Salvador), Quito, and Guayaquil (Ecuador). The company’s passenger operating fleet totaled 161 aircraft as of September 2025, including 134 Airbus A320 family aircraft, 15 Boeing 787s, and 12 Airbus A330s.

Avianca is a member of Star Alliance  and is part of the Abra Group. The Abra Group also controls Gol Linhas Aéreas Inteligentes S.A.   and holds a strategic investment in Wamos Air .

Above photo: Avianca A330F cargo jet (photo courtesy Avianca)

The agreement, initially announced on January 6, 2025, provided Scotiabank with an approximate 20% ownership stake in the newly formed holding company, Davivienda Group, in exchange for the transferred operations. The combined operations of both institutions will be managed under the Davivienda Group umbrella.

Scott Thomson, President and CEO of Scotiabank, commented that the completion of the transfer supports the bank’s International Banking strategy, citing the achievement of operational scale across its regional markets and projected improvements in profitability. Thomson also noted that the equity stake provides Scotiabank with exposure to a combined business positioned for scale, potential synergies, and an expanded client base under a single management team.

Javier Suárez, CEO of Davivienda Group, stated that the transaction integrates complementary capabilities and expertise, positioning the group to expand business development opportunities and scale operations by leveraging Scotiabank’s global experience with Davivienda’s regional expertise across Colombia and Central America.

The integration plan dictates that the former Scotiabank operations in Colombia and Costa Rica will operate under a transitional brand, DAVIbank. In Panama, the businesses will fully transition to the Davivienda brand.

Scotiabank and Davivienda are expected to collaborate to strengthen their combined global reach. This cooperation is designed to allow Davivienda to expand its international product offerings as a regional player, while enabling Scotiabank to continue supporting its Corporate, Wealth, and Global Banking and Markets clients throughout Davivienda’s operational footprint.

Financial and Regulatory Impact

Scotiabank forecasts recording an after-tax loss of approximately $300,000,000 CAD in the first quarter of 2026 within its Other segment. This loss is primarily related to the release of cumulative foreign currency translation losses, net of hedges.

For accounting purposes, Scotiabank’s investment in Davivienda will be recorded as an investment in associate. The company anticipates an approximate 10 basis points benefit to its Common Equity Tier 1 (CET1) ratio for Q1 2026, primarily resulting from the reduction in risk-weighted assets net of the Davivienda investment.

The approvals were received from the financial regulatory bodies in the respective jurisdictions, including the Superintendencia Financiera de Colombia (Superfinanciera), the Superintendencia General de Entidades Financieras (SUGEF) of Costa Rica, and the Superintendencia de Bancos de Panamá (SBP). Following the closure of the transaction, the combined operations of both institutions will function under a new holding company, Davivienda Group (BVC: PFDAVIGRP).

The transfer formalizes an agreement initially disclosed by Scotiabank on January 6, 2025. Under the terms, Scotiabank transfers its banking operations in the three Central and South American nations in exchange for an approximate 20% ownership stake in the resulting Davivienda Group on a pro forma basis.

Following the closure of the transaction, the combined operations of both institutions will function under a new holding company, Davivienda Group (BVC: PFDAVIGRP).

The consolidation is structured to achieve greater operational scale for Davivienda across all three markets. Furthermore, as part of the transaction, Mercantil Colpatria is scheduled to sell its residual interest in Scotiabank Colpatria, its joint venture with Scotiabank in Colombia.

For Scotiabank, the divestiture aligns with its five-year strategy focused on enhancing profitability across its international banking portfolio by streamlining operations in non-core markets. The company stated the transaction reduces operational complexity and helps strengthen its capital focus on its primary growth corridor across North America and select Latin American markets. The sale is considered capital neutral overall, with the potential to contribute to future earnings.

The agreement also stipulates that Scotiabank will receive a combination of newly issued common and preferred shares in the new entity, commensurate with its ownership stake. Scotiabank will also retain the right to designate individual(s) to serve on the Board of Directors of the Davivienda Group’s combined operations.

The two institutions intend to establish a mutual referral agreement to ensure Scotiabank can maintain support for its Corporate, Wealth, and Global Banking and Markets clients across the expanded Davivienda service footprint.

Financial Impact and Accounting

The initial announcement in January 2025 indicated that Scotiabank’s operations subject to the transfer would be classified as assets held for sale for accounting purposes. This classification necessitated the recognition of an after-tax impairment loss of approximately $1.4 billion CAD in the first quarter of 2025. The impairment was projected to reduce Scotiabank’s Common Equity Tier 1 (CET1) ratio by an estimated 10 to 15 basis points.

The company further disclosed that an estimated $300 million CAD in additional losses will be recorded upon closing, primarily related to cumulative foreign currency translation losses.

Upon the transaction’s completion, Scotiabank’s 20% equity stake in Davivienda Group will be recorded as an investment in associate. The reduction in risk-weighted assets from the transfer is expected to result in a commensurate benefit to the CET1 ratio, estimated at approximately 10 to 15 basis points.

Davivienda Group, which originated as Corporación de Ahorro y Vivienda in Colombia in 1972, is a regional banking entity serving roughly 25.6 million customers through a network that includes 653 branches and more 2,807 ATMs, with established operations in Colombia, Costa Rica, El Salvador, Honduras, Panama, and the US. The institutions have stated they will collaborate to facilitate a smooth transition for clients and employees in Colombia, Costa Rica, and Panama.

The rating action included an upgrade for one fund and the affirmation of ratings for six others. The ratings assigned by Fitch do not constitute an opinion on the probability of the application of extraordinary liquidity management measures or the funds’ redemption risk.

Key Rating Factors

The foundation for the affirmation and revision of the ratings rests on the current profile of the FIC’s asset portfolios, investment strategies, and management policies.

Credit Quality Assessment

The credit quality ratings are derived from the weighted average credit quality of each FIC’s portfolio, with specific focus on the quality and diversification of instruments and counterparties, as well as the established investment limits. All FICs maintained a Weighted Average Credit Quality Factor (WACF) consistent with the ‘AAAf(col)’ national rating, the highest designation on the scale.

The upgrade of the FIC Renta Fija Plus credit quality rating to ‘AAAf(col)’ was attributed to the sustained stability in the investment portfolio’s credit profile. This stability led to a consistent reduction in the fund’s WACF, bringing it within the required range for the ‘AAAf(col)’ rating.

Market Risk Sensitivity

The market risk sensitivity ratings are based on the average duration of the funds, calculated by the Weighted Average Rating Factor (WARF), and the fund’s sensitivity to spread risk (MRF).

Sensitivity to Future Rating Actions

Downgrade Factors

A downgrade in the FIC’s credit quality ratings could occur if the portfolio undergoes significant changes in composition or if investment strategies are modified to increase the WACF, reflecting a lower credit quality. This applies to all FICs with the exception of those rated at Df(col), which is the minimum national scale rating.

Similarly, a downgrade in market risk sensitivity could result from significant changes in portfolio composition, duration, or spread risk, or if modifications to investment strategies increase the MRF and reflect greater sensitivity to market risk. The potential for the use of financial leverage is also a factor considered in the sensitivity assessment.

Upgrade Factors

The credit quality ratings for all FICs and the market risk sensitivity ratings for FIC Fiducuenta, FIC Fiduexcedentes, and FIC Renta Liquidez are the highest on the national scale. Therefore, a further positive rating action is not possible for these specific funds.

The market risk sensitivity rating for FIC Fidurenta and Plan Semilla could be reviewed for an upgrade if their MRF remains consistently below the thresholds established by Fitch for their current ratings.

Bancolombia S.A. Subsidiaries

Bancolombia S.A. (NYSE: CIB, BVC: CIBEST) is the parent company of a financial group with operations across Latin America. The group, now formally operating under the holding structure Grupo Cibest S.A., manages a broad range of businesses.

Key subsidiaries within the corporate structure include:

• Banistmo (Panama)
• Banco Agrícola S.A. (El Salvador)
• Grupo Agromercantil Holding (GAH), which includes Banco Agromercantil de Guatemala (BAM)
• Valores Bancolombia S.A. Comisionista de Bolsa (Securities Brokerage)
• Banca de Inversión Bancolombia S.A. Corporación Financiera (Investment Banking)
• Compañía de Financiamiento Tuya S.A. (Financial Services, Retail Credit)

The revised model delineates two primary functions within EPM. One segment of the organization now oversees strategic management across the 47 companies that comprise the Grupo EPM—which operates in Colombia, Chile, El Salvador, Guatemala, Mexico, and Panama—while the other focuses on direct public service delivery in Medellín and the department of Antioquia. The legal status and public ownership of EPM remain unchanged.

Administrative Adjustments and Workforce Impact

As part of the restructuring, EPM reduced its number of executive positions from 247 to 206. This change shortened reporting lines and flattened hierarchies in several departments. The company reports that 45 internal professionals were promoted to executive roles, and 21 department heads were elevated to higher-level positions.

The reorganization also includes the transformation of EPM’s existing Shared Services Center (CSC) into a proposed sub-management unit called “Global Business Services” (GBS). The GBS model, which is under internal review but not yet approved by the board of directors, aims to consolidate and standardize fragmented processes currently distributed across multiple departments.

GBS structures are widely adopted in multinational corporations for centralized service delivery. In Colombia, similar models are used by Grupo Argos (BVC: GRUPOARGOS, PFGRUPOARG), Grupo Nutresa (BVC: NUTRESA), Organización Corona, Grupo Aval (BVC: GRUPOAVAL, PFAVAL), and Grupo de Energía de Bogotá (BVC: GEB).

Strategic Objectives and Governance

The restructuring is part of EPM’s broader effort to enhance its governance framework and align its operational model with global trends in digital transformation, energy transition, and circular economy practices. The company has emphasized that the changes are not intended to split the organization but to clarify roles and responsibilities between corporate oversight and service execution.

EPM’s leadership team under General Manager John Alberto Maya Salazar includes newly appointed vice presidents across strategic, energy, water and sanitation, finance, regulation, and customer experience divisions.

Photo credit EPM.

In a written statement, Trump said:

“In Colombia, coca cultivation and cocaine production have surged to all-time records under President Gustavo Petro, and his failed attempts to seek accommodations with narco-terrorist groups only exacerbated the crisis.  Under President Petro’s leadership, coca cultivation and cocaine production have reached record highs while Colombia’s government failed to meet even its own vastly reduced coca eradication goals, undermining years of mutually beneficial cooperation between our two countries against narco-terrorists.  For this reason, I have designated Colombia as having failed demonstrably to meet its drug control obligations. Colombia’s security institutions and municipal authorities continue to show skill and courage in confronting terrorist and criminal groups, and the United States values the service and sacrifice of their dedicated public servants across all levels of government.  The failure of Colombia to meet its drug control obligations over the past year rests solely with its political leadership.  I will consider changing this designation if Colombia’s government takes more aggressive action to eradicate coca and reduce cocaine production and trafficking, as well as hold those producing, trafficking, and benefiting from the production of cocaine responsible, including through improved cooperation with the United States to bring the leaders of Colombian criminal organizations to justice.”

The US State Department on social media directly blamed Gustavo Petro for the failures, but also noted that the US government issued a 1-year waiver, meaning bilateral cooperation, and almost half a billion USD in security and antinarcotics aid to Colombia will not end immediately. One year from now, Colombia will have a new president, as Petro’s term comes to an end August 7^th, 2026.

The decertification puts half a billion dollars of US security aid to Colombia at risk. Mafia & insurgent groups have flourished during the government of Gustavo Petro.

“Under Petro’s misguided leadership, coca cultivation & cocaine production in Colombia has increased to historic levels…President Trump “has determined that the Colombian government failed to uphold its drug control obligations, but he has issued a waiver so critical US cooperation, including on counter-narcotics, can continue. Results matter – we must see progress and it must be soon!” the State Department tweeted.

Colombian President Gustavo Petro ran on a presidential campaign promising “total peace” and pledging programs that would replace coca production with other food crops, increasing Colombia’s agricultural exports. What has happened, however, is the reverse. Narco-insurgent groups such as FARC dissident mafias, communist rebels ELN, and the Clan del Golfo (Gulf Clan) mafia are all resurgent and taking over territory from government control. Over the weekend, narco-insurgents bombed an electrical tower in Medellin, and this just a few weeks after a massive truck bomb killed over 19 in Cali, Colombia’s third largest city. Under the Petro administration, cocaine production has surpassed levels seen during the days of the cartels and Pablo Escobar.

Petro, a former member of the M-19 guerilla group himself, has made statements defending cocaine, calling it “no worse than whisky,” and in April, his own former foreign minister Alvaro Leyva publicly accused him of being a drug addict.

“It was in Paris where I was able to confirm that you had a problem with drug addiction. But what could I do? Surely, I was not up to the task. I should have reached out, helped, intervened. I carry the regret of not having tried to lend a hand. The truth is, you never recovered. That is the reality,” said Leyva.

A defiant Gustavo Petro refused to accept any responsibility and said that the Trump administration’s decision demonstrates that US policy has failed.

Petro’s own Interior Minister, Armando Benedetti, is an admitted recovering drug addict.

Last night, a defiant Petro blamed the US and defended his administration’s efforts, saying that the move would end Colombia’s dependence on the United States, and cited the government’s recent cocaine seizures, without mentioning the skyrocketing production during his Council of Ministers meeting.

“You begin with a factual lie. Coca crop growth has occurred during (Iván) Duque’s administration, and with forced fumigation. It is U.S. policy that has failed. To reduce coca leaf cultivation, what is needed is not glyphosate dropped from airplanes, but a decrease in demand for cocaine, primarily from the U.S. and Europe,” said Petro in response to the US State Department statement.

Former Colombian President Ernesto Samper, whose administration also experienced decertification, and whose 1994 campaign was partially financed by the Cali Cartel drug lords, assured that decertification was “not the end of the world.” The former president added that “we must once again demand that consumer countries like the United States and many in Europe fulfill their commitment to reducing drug demand, precisely at a time when consumption of plant-based drugs has declined and the devastating effects of synthetic drugs like fentanyl and other narcotics we don’t produce are being felt.”

Samper stated that the decision to decertify Colombia in its fight against drugs “is illegal, political, and regressive.” He explained that it is “illegal because no country is authorized to impose unilateral sanctions on another country or its nationals. Only the United Nations can do so under established circumstances and in justified cases of necessity,” and it is political “because it has always been used to punish countries considered “enemies” of the United States. The worst right-wing dictatorships have benefited from the non-application of decertification, while our country, which has paid high human and institutional costs, is decertified every time the Colombian government appears as an “enemy” of the United States government.”

Paisa politicians blame Petro

Not all Colombian politicians are defending Petro. Medellín’s mayor Federico “Fico” Gutierrez, who returned from the US on his own diplomatic missive to meet with US officials  in direct defiance of Petro’s orders not to go, issued a statement damning the Colombian President:

“Colombia is being decertified by the United States in the fight against drugs. It was to be expected. Petro sided with the worst criminals. They are the only ones who have won under this disastrous government. During our visit to Washington last week, our position was to ask that Colombia not be decertified. And if it were to happen, we asked that support for our public forces in the fight against drug trafficking not be withheld, nor that the trade on which millions of jobs depend in Medellín and throughout Colombia be affected. Indeed, our agenda in Washington was successful in defending Colombia. Although Colombia is decertified, it leaves the door open for support for our public forces and expressly highlights the recognition that the United States gives to our public forces and mayors: *“Colombia’s security institutions and municipal authorities continue to demonstrate skill and courage in confronting terrorist and criminal groups, and the United States values ​​the service and sacrifice of its dedicated public servants at all levels of government.”* (see photo) In the midst of all this, we would have solutions as a country. But seeing Petro’s absurd statements, his intention is for Colombia to lose this opportunity and for us to be plunged into chaos. It is very evident that this is what he wants and has sought all along: to be left alone and remain in power. All the more reason we remain steadfast in the defense of Colombia and our people. We pull Colombia forward from the regions.” (below video)

Colombia es descertificada por Estados Unidos en la lucha contra las drogas. Era de esperarse. Petro se puso fue del lado de los peores criminales. Son los únicos que han ganado con este nefasto gobierno.
En nuestra visita a Washington de la semana pasada, nuestra posición fue… pic.twitter.com/2qEIBTpTGU

— Fico Gutiérrez (@FicoGutierrez) September 16, 2025

The Governor of Antioquia, Andrés Julián Rendón, also had a scathing rebuke for his own president. Antioquia is the Colombian department where Medellín is capital and is home to much of Colombia’s economic activity. Rendón tweeted:

“Regarding the decertification of Colombia, the Government of @petrogustavo – It’s a snapshot of the failure of “total peace,” of temporizing with criminals, of dealing with them in a friendly way while they destroy the country and Colombians. – Now, the Petro government should stop playing the victim coming up with resentful, outdated, anti-US rhetoric. The President is reaping his own harvest of incompetence and failure: he sided with the criminals. The world and the US are paying him back. – Antioquia is the first victim: flooded in a sea of ​​cocaine by a weak government that ties up soldiers and police to prevent action. The criminals win, and we Antioqueños lose. Drugs, drugs, and more drugs to poison our youth and to enrich and strengthen the criminals. – Aerial spraying was the most successful tool in the past: effective in eradication, it protected our soldiers and police. It must be reactivated. Tomorrow will be too late! It’s been proven: more cocaine seizures are not proof of greater effectiveness in the fight against drug trafficking; rather, they are the ultimate proof of a historic peak in production. We’ve gone back more than 20 years, but fortunately, this government has only months left. In Antioquia, despite intimidation and judicial persecution, we will continue working to defend the interests of my fellow citizens, adhering to the Constitution and appealing to the courage of soldiers and police. In our government, we understand peace as the rule of law, security, justice, and social opportunity. We will remain there, even if our lives and freedom are at risk.

Sobre la decertificación a Colombia, al Gobierno de @petrogustavo:

– Es una radiografía del fracaso de la paz total, de contemporizar con criminales, de tratarlos por las buenas mientras acaban con el país y los colombianos.

– Ahora que el Gobierno Petro no se haga la víctima… pic.twitter.com/OygRV29NER

— Andrés Julián (@AndresJRendonC) September 16, 2025

Business calls for cooler heads to prevail

Amcham Colombia, the binational Colombian-American chamber of commerce based in Bogotá and made up of both Colombian and US businesses involved in bilateral trade, issued a statement lamenting the decision, while also calling for the Colombian President to do more to save the relationship.

“AmCham Colombia firmly and respectfully calls on the National Government to urgently present and implement a roadmap with achievable and verifiable goals that demonstrate political will and substantial improvements in crop eradication, production and trafficking reduction, judicial cooperation, and the financial dismantling of criminal organizations. Only then can the country request reconsideration of the designation in the next cycle and maintain assistance within the national interest of the United States.

Respectfully, AmCham Colombia invites the United States Government to recognize the progress in interdiction and seizures and to consider announcing the resumption of spraying when appropriate and under the safeguards of the Constitutional Court, complemented by alternative development and a comprehensive state presence. These signals should contribute to avoiding measures that affect trade, tourism, and investment between the two countries.”

🇺🇲🇨🇴 #Descertificación con interés nacional@AmChamCol hace un llamado firme y respetuoso al Gobierno Nacional para presentar y ejecutar con urgencia una hoja de ruta con metas alcanzables y verificables que evidencie voluntad política y una mejora sustancial en: erradicación… pic.twitter.com/qDer8SKYFl

— Maria Claudia Lacouture (@mclacouture) September 16, 2025

Above image: Gustavo Petro during his council of ministers meeting where he defended his administration and blamed Trump for his country’s decertification. Photo credit: Ovidio González – Presidencyof The Republic

The $130 million USD equity investment includes a previously disclosed secured convertible note issuance of $40 million USD from Hoche Partners Pharma Holding S.A. in mid-October 2024, intended to provide Procaps with liquidity during a period of financial distress. This note has since been converted into ordinary shares. The remaining $90 million USD was raised through a private placement of ordinary shares. The investor group comprises Chemo Project S.A., Becaril S.A., Flying Fish Ventures L.P., Saint Thomas Commercial S.A., Santana S.A., Hoche Partners Pharma Holding S.A., and other undisclosed investors. This collective now holds approximately 90% of Procaps’ shares.

The involvement of Hoche Partners in Procaps’ financial restructuring follows a period of contention between the Chilean-origin investment firm and the company’s previous management. In November 2024, Procaps received notification from Nasdaq regarding the suspension of its stock listing after failing to file its Form 20-F for the fiscal year ending December 31, 2023, with the US Securities and Exchange Commission (SEC).

This situation arose after Hoche Partners Pharma Holding initiated legal action through the US law firm Gibbons P.C. due to identified irregularities in the company’s accounting. Hoche Partners had proposed a change in management to address the delays in financial reporting.

According to a letter submitted to the SEC by Gibbons P.C. on behalf of Hoche Partners in late October, the investment firm had offered a $40 million USD liquidity injection to Procaps on October 20, 2024. The proposal outlined an immediate availability of half the funds, with the remaining half to be raised and invested before the end of the year.

Gibbons P.C. stated that this offer was contingent upon changes in corporate governance and voting rights affecting the majority shareholders while allowing them to participate in capital increases. Another condition involved the majority shareholders reimbursing the company for expenses related to the accounting investigation. However, Procaps’ management reportedly rejected this proposal and presented counteroffers deemed “unacceptable” by Hoche Partners. Consequently, Hoche Partners withdrew its offer on October 28, 2024.

Despite the withdrawal, Hoche Partners now intends to play a significant role in guiding Procaps’ transformation and supporting its long-term strategy. The new shareholder base, which includes investors with experience in the healthcare and pharmaceutical sectors, is expected to actively participate in the company’s turnaround efforts.

Alejandro Weinstein, Chairman of the Board and representative of Hoche Partners, stated, “With this strong and committed investor group that trusts the future of Procaps, the company is now in a position to stabilize, rebuild trust, and create long-term value through operational discipline and a renewed strategic focus.”

Simultaneously, Procaps finalized a comprehensive restructuring of approximately $209 million USD in debt that was previously under forbearance. The agreement with key lenders includes:

• Extension of debt maturities and revised payment schedules to improve near- and mid-term cash flow.
• Reprofiling of financial obligations to align with the company’s operational turnaround timeline.
• Adjustment of financial covenants to better reflect current operations and the strategic plan.
• Preservation of liquid assets to support ongoing operations and strategic initiatives.
• As part of the debt restructuring, certain lenders have agreed to convert a portion of their debt holdings into equity in the company, indicating an alignment of interests with Procaps’ long-term prospects.

Interim Co-Chief Executive Officer Melissa Angelini commented, “This financial reset gives us the breathing room and flexibility to focus on what matters: rebuilding the core of the business and creating sustainable value.”

These financial maneuvers follow a challenging fiscal year 2024 for Procaps. The company’s current focus is on executing a turnaround strategy that includes addressing the findings of a previously disclosed internal investigation related to internal controls, governance, and financial reporting. Procaps is also in the process of finalizing the restatement of prior-period financial statements and intends to release its audited 2023 and 2024 financials as soon as practicable. The delay in filing its Form 20-F was a key factor leading to the Nasdaq delisting notification.

Additional elements of the turnaround strategy include implementing structural cost-efficiency measures, centralizing decision-making, and prioritizing margin expansion through operational discipline and business simplification.

In a significant organizational shift, Procaps has relocated its corporate headquarters to Bogotá, Colombia. This move aims to centralize strategic, financial, and executive decision-making closer to the company’s primary markets. However, the company’s operational footprint in Barranquilla, where manufacturing plants, product development, and other key operational teams are based, will remain unchanged.

The headquarters relocation is part of a broader internal reorganization that involves the centralization of finance, financial planning and analysis (FP&A), compliance, legal, and information technology (IT) functions. The company is also implementing leadership transitions to foster a performance-oriented management culture, enhancing governance structures, and strengthening internal controls, reporting mechanisms, and operating discipline.

To enhance accountability and improve commercial performance, Procaps is reorganizing its operations into five regional clusters: Colombia, Brazil (B2B), United States (B2B), Andinos (comprising Peru, Ecuador, and Bolivia), and CENAM (including Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica, Panama, and the Dominican Republic).

Furthermore, Procaps is actively pursuing strategic alternatives for non-core assets, with several discussions reportedly in advanced stages. The potential proceeds from these sales are intended for debt reduction and reinvestment in high-margin, strategic assets and operations.

With a restructured capital base and new leadership in place, Procaps states its focus is on restoring profitability through operational efficiency and cost control, reinforcing governance and transparency, delivering on its remediation plan, divesting non-core assets, and investing in innovation and commercial growth, particularly in prescription drugs and expanding its contract development and manufacturing organization (CDMO) global footprint. The company faces the ongoing task of addressing its delayed financial filings to regain compliance with Nasdaq listing requirements.

Greenberg Traurig, LLP advised Procaps as lead transaction and US counsel, Arendt & Medernach S.A. as Luxembourg counsel, and Philippi Prietocarrizosa Ferrero DU & Uria as Colombian and Peruvian counsel. FTI Consulting served as the company’s exclusive financial advisor.

Photo credit: Procaps Group website.

Never fall for scammers who try to charge you to apply for jobs. Applying for jobs in the US is always FREE.

As first announced by our colleagues at EmpleoBilingue.com, Interested workers must hurry, because the application window has already opened! 20,000 visas are reserved for nationals of El Salvador, Guatemala, Honduras, Haiti, Colombia, Ecuador, and Costa Rica for the entirety of FY 2024. Citizens of other eligible countries may also apply under different allocations, see the table below for eligibility.

We reached out to our friends at the US State Department, and a US Embassy Bogotá spokesperson told us the following:

Every year, the United States welcomes thousands of foreign workers through the H-2B visa program to fill temporary, nonagricultural jobs in the United States.  This year, in line with the Biden Administration’s commitment to expand lawful pathways as an alternative to irregular migration, the H-2B visa program includes a special allotment of 20,000 visas for workers from seven countries, including Colombia.  H-2B visas are nonimmigrant visas that allow U.S. employers or agencies to temporarily employ foreign workers in the United States to fill urgent workforce demands.  U.S. businesses in industries such as hospitality, tourism, landscaping, seafood processing, and more rely on seasonal and temporary workers in the H2-B program to help them meet demand.  In order to apply for an H2-B visa, a U.S. employer or agency must petition for the workers they want to bring to the United States.  Only foreign workers whose petitions have been approved by the Department of Homeland Security can apply for an H-2B visa.  Because of this, anyone interested in applying for an H-2B visa must first search for U.S. companies seeking H-2B workers and contact the company to secure a job.  One useful database of seasonal and temporary job openings is https://seasonaljobs.dol.gov/

In addition to the H2-B program, thousands of Colombian university students visit the United States every summer as part of the Summer Work Travel and Camp Counselor programs.  Through these special exchanges, young Colombians work  at U.S. summer camps all over the country or as seasonal or temporary employees for U.S.-based companies.  On May 4, the U.S.  Embassy opened its doors to 1,000 Colombian university students applying for J-1 visas to participate.  For more information on how to apply for the summer work and travel program, please visit: https://j1visa.state.gov/programs/summer-work-travel#participants

Be sure to sign up to receive job alerts for bilingual opportunities at EmpleoBilingue.com

According to the US Citizenship and Immigration Service, effective Nov. 9, 2023, nationals from the following countries are eligible to participate in the H-2B program:

Above photo: Cedar Point in Sandusky, Ohio (Photo: Loren Moss)

This significant move marks the second major sale in a matter of days for the Medellín-based company after it sold its holdings in Argentina to Sudamericana Holding.

The sale of its El Salvador subsidiary also comes on the same day that Grupo Sura announced a 8.8% increase in profit in the second quarter, which saw total profits of $153 million USD despite a significant increase in operating expenses driven largely by exchange rate fluctuation in the Colombian peso.

“The results of this period reflect the greater devaluation of the Colombian peso against the rest of the currencies in the region and the consolidation of the AFP Proteccion,” stated the company in its results announcement.

With the moves, Grupo Sura continues to stay in the headlines.

The firm has been in news all year long due to its involvement in billionaire shareholder Jaime Gilinski’s high-profile pursuit, and eventual takeover, of Grupo Nutresa.

Photo credit: Grupo Sura