Colombia Seeks Membership in China-Based Development Bank
Colombia’s government has formally applied to join a development bank linked to China, signaling a shift in the region as it moves away from its long-time ally, the United States. This trend has been influenced by recent foreign aid cuts, trade barriers, and strict immigration policies from the U.S., prompting several Latin American leaders to seek closer partnerships with China.
During a recent trip to China, Colombian President Gustavo Petro concluded his visit with a meeting in Shanghai with Dilma Rousseff, the head of the New Development Bank. This bank was established a decade ago by Brazil, Russia, India, China, and South Africa—nations known collectively as the BRICS—intended to counter the influence of U.S.-led institutions such as the World Bank and the Inter-American Development Bank.
The New Development Bank has already approved funding for 122 projects, amounting to over $40 billion, in vital areas like transportation and clean energy. President Petro announced Colombia plans to invest $512 million in bank shares. He highlighted a significant project: a 120-kilometer canal or railway that would connect Colombia’s Atlantic and Pacific coastlines, aiming to boost trade links between South America and Asia.
Colombia is the second country in Latin America to pursue membership in this bank, following Uruguay’s application in 2021.
Historically, Colombia has been a steadfast ally of the U.S., especially in combating drug trafficking. This new direction may raise concerns within Washington. The U.S. State Department has stated it would “vigorously oppose” any financing tied to China’s Belt and Road Initiative in the region. During a summit with leftist leaders from Brazil and China, Petro agreed to participate in this initiative.
Despite potential pushback from the U.S., Petro remains firm in his position, asserting that Colombia will navigate its course amid global geopolitical tensions. He stated, “We made this decision freely. With the United States, we can speak face to face; with China, too.”
