During the first quarter of 2024, The closure of companies increased in Colombia, while their creation decreased significantly.
That is the main conclusion that emerges from the most recent study by Informa Colombiaa financial, commercial and reputational information company for companies and entrepreneurs.
According to the report, the first three months of 2024 were the first quarter in four years with fewer companies created in the country. “The economic situation facing Colombia “It has been a determining factor in the negative dynamics of business creation and closure in recent years,” the study states.
And he adds: “The slowdown in economic activity It is explained by the fall in investment in machinery and equipment, low levels of investment in civil works and a moderate reduction in private consumption; “The manufacturing, construction and commerce sectors presented negative trends.”
The economic behavior in 2023, according to the Report, contributed to the increase in uncertainty in economic policynegatively affecting the creation of new companies in the first quarter of 2024.
On the other hand, the improvement in more favorable international financial conditions was not enough to reverse the decline in business creation.
This is how the creation and closure of companies in Colombia behaved
In the first quarter of 2024, registered 51,827 new companies In colombia. This represented a decrease of 30% compared to the first quarter of the year in 2023, when 74,143 were registered.
In both January, February and March, fewer companies were created. In January 2023, 23,364 companies were created, in February, 23,940 and in March, 26,839. By January 2024, 17,535 companies were created (-25%), in February, 18,504 (-23%) and in March, 15,788 (-41%).
Only two departmentsNariño and Putumayohad an uptick in business creation by 38% and 28%.
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“This panorama reflects a complex scenario for business creation, which can be attributed to various macroeconomic factors. For example, the behavior of the economy for the first quarter of 2024 was the most negative since the pandemic according to DANE, showing a growth of 0.7%,” says Informa Colombia in its study of company creation and closure in the first quarter. quarter of 2024.
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Regarding the closure of companies, between the first quarter of 2021 and the same period of 2024, the report shows notable fluctuations.
“In 2022, there was a 23% increase in business closures compared to 2021, reaching a total of 27,960 closures, possibly due to the prolonged effects of the pandemic. In 2023, there was a 20% decrease, with 22,469 closures. However, in 2024, the Business closures increased again by 31% reaching 29,453”, indicates Informa Colombia.
Where there were the greatest closures was in: Bogotá (7,040), Antioquia (5,218) and Valle del Cauca (3,463). “These closures in important economic centers have a significant impact on the national economy,” moreover, taking into account the high number of closures in sectors such as commerce, accommodation and food services and in manufacturing industries.
