The governor of the Central Bank of Colombia (BCC), Leonardo Villar, told a banking conference the supposed trade-off between fighting inflation and economic growth was a “false dilemma”.

Villar also discussed why Colombian inflation has not yet begun to decline, though price pressures have subsided in neighbouring countries.

Speaking on February 9, Villar said high interest rates now would ensure lower ones later. These are necessary for investment and growth over the longer term, he said.

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