SANTIAGO FELIPE LEHMANN CASTRILLON Why do Business in Colombia? Colombia Country of Opportunities. SANTIAGO FELIPE LEHMANN CASTRILLON MINISTER COUNSELLOR Ljubljana – 18 Sep 2017

THE COLOMBIAN FACTS Population: 48,8 millions inhabitants 55% Of the population is less than 30 years old. The third largest population of Latin America Colombia is the country with the highest biodiversity per km2 It is among the 12 most megadiverse countries of the planet. Natural Products: Coffee, flowers, sugar, fruits, coal, gold, emeralds, dairy products, cattle, farming, natural gas and oil. The territory has an extension of 1,141,000 km2. Government: Presidential constitutional Republic. “The oldest democracy in America” Key industries: Energy, hydrocarbons, chemicals, clothing and tailoring, beverages, food, metalmechanics, Tourism.

Colombia a New Reality: A Country to explore Colombia is the country in the Latin America and Caribbean region that has had the most significant and positive change in the past 15 years. Colombia has stable democracy and well-defined Public Policies. Colombia has significantly improved its safety indicators in the last 15 years. Since 1930, Colombia´s economy has grown with the exception of 1998. During the last 20 years, it has had an average growth of 4%. The Government of Colombia and the rebel group FARC, declared the end of a 52 year conflict, with the signing of a Peace Agreement. Colombia defeated the drug trafficking problem and its current situation is totally different than the 80's and 90's.

Colombia´s Economy in the World Colombia is the 31st largest economy in the World The Fourth Largest Economy in Latin America Colombia´s economy, one of the largest in non-OECD countries. Tamaño de la economía colombiana

A dynamic and stable economy Colombia A dynamic and stable economy

Colombia is an Open and Global Economy

First destination for safe investment Colombia First destination for safe investment

OECD already approved 20 out of 23 Colombian committees

The Pacific Alliance 7th WORLD ECONOMY GDP of 1,912 billion € GDP Per Capita 15.270 € The members generate 41% of the region`s GDP Population of 225 million More than Brazil`s population 43% of the regional FDI Total FDI of 64.800 million € (2015) The Pacific Alliance FTAs with 60 countries Access to benefits of markets that represent 86% of the World GDP How do Business in the Pacific Alliance : Partnership – strategic alliances - Joint Venture

Regiones Sectors of the Economy Exports, Imports and Foreign Direct Investment in Colombia 2016 Regiones Total Exports to the World Imports from the World Foreign Direct Investment in Colombia 28.670 millions € 39.131 millions € 12.414 millions € TRM : 1 € - USD $ 1,095 Sectors of the Economy MINING, OIL AND GAS AGRIBUSINESS INFRASTRUCTURE MANUFACTURE TOURISM

845 million € in Rehabilitation, expansión and modernization of 47 airports (2015 – 2018) 1.26 billion € between 2015 and 2018 to improve ports infrastructure Until 2021, 15.7 billion € will be invested to increase road infrastructure: 7.000 Km of Highways 1.400 Km of Double Lane Highways 141 tunnels and 1.300 Viaducts The Fluvial National Plan Consist of 13 river proyects with an investment of 2497 million € 1.69 billion € to improve the navigability of Magdalena river 47.7 million € investment to recover more tan 990 km of railways network

Sector of Opportunity Manufacturing Key facts about Manufacturing in Colombia

Colombia is the 2nd largest flowers exporter worldwide, with around 1 Colombia is the 2nd largest flowers exporter worldwide, with around 1.165 millions € Colombia is the 3th largest coffee producer worldwide and with the best quality of the world Colombia is the 4th largest producer of oil pal over the world, with around 1 million tonnes. Colombia is the country with the highest biodiversity per km2 in the World In 2018, there will be one million more hectares due to “Colombia Siembra Plan”

Sectors of opportunity - Energy: A diversified source base and a pivotal location in the Americas

Investment opportunities in non-conventional power generation Non-conventional power generation projects solar wind biomass geothermal solid waste Regulatory framework Law 1715 of 2014 – integration of NCRE to the system Fiscal and financial incentives NCZ account for 52% of territory Most energy in NCZ is currently produced with diésel fuel

Automotive Industry in Colombia - a Key Sector Sector Opportunities Automotive Industry in Colombia - a Key Sector Colombia is one of the largest automotive markets in South America, next to Brazil and Argentina Auto parts sales totaled 3.55 billion € in 2016. At the end of 2016 there were 13 million vehicles in Colombia Automotive sector contributes four percent to the country’s GDP and accounts for nearly 22,000 jobs Presence of international assembly: Renault, General Motors, Mazda, Toyota-Hino, Busscar and Superpolo Leading Sub-Sectors Best prospects for automotive parts and accessories are: Brakes fluid; Transmission shafts, bearings, gears; Tires for small vehicles, trucks and buses; Tire retreading equipment; Tire recycling operators; Engines and engine parts; Filters; Insulated wire, cable;  Electrical parts; Tire retreading equipment; Tire recycling operators.

Colombia - A key destination for investing in tech products 22 MM €

Incentives by sector: up to 20 years of income tax exemption

Hvala Jaime Alberto Cabal Sanclemente Ambassador of Colombia jaime.cabal@cancilleria.gov.co eviena@cancilleria.gov.co Santiago Felipe Lehmann Castrillon Minister Counsellor Felipe.lehmann@cancilleria.gov.co