Colombia

Banco de la República held rates at 11.25% in a unanimous vote that defied every economist prediction and revealed the cost of political pressure. Fourteen of 16 analysts expected a hike with inflation at 5.6%, well above the 3% target. The decision came days before May elections after Finance Minister Germán Ávila ended a month-long boycott and President Petro threatened wage increases if rates rose. This wasn't monetary policy, it was damage control ahead of polling day.

Colombia's credit chief is planning a $4 billion buyback of external bonds — either a sign of fiscal strength or pre-emptive damage control.

Ecuador escalated its trade war with Colombia, doubling tariffs to 100% effective May 1 over drug trafficking concerns. Colombia suspended energy exports in response, worsening Ecuador's drought-driven power crisis.