States of Emergency: A Recurring Movement That Undermines Confidence and Stability

Labor and employment attorney Camilo Cuervo was cited in an article published by Portafolio in which he commented on the declarations of states of emergency by Colombian President Gustavo Petro. Petro announced his intention to declare the third such state in less than three years, this time in the form of an economic emergency in response to an outbreak of yellow fever. Mr. Cuervo warned that the judiciary has the final say with respect to the validity of these declarations and expressed concern about the effects of these measures on investor confidence and judicial certainty.

"Colombia was beginning to recover, investors were regaining interest thinking that this government was not going to extend [it]," he said. "But these decisions scare them, and the risk is two-fold: On the one hand, the fiscal crisis is accelerated by squeezing the middle class and business sector even more. On the other hand, it projects a political strategy that aims to raise fund to influence the presidential succession in 2026."

READ: States of Emergency: A Recurring Movement That Undermines Confidence and Stability