Inflation in Colombia during November showed a slight relief compared to the previous month: the annual rate stood at 5.30%, a small decline from the 5.51% recorded in October, an uptick that alarmed economic authorities who have been working, with little success, to contain the CPI.
This figure, released by the National Administrative Department of Statistics (DANE), allows for cautious breathing, since although it does not reverse the inflationary problem, it indicates a slowdown in price increases. In a context where the costs of goods and services have strained household budgets for much of the year, that moderation can be seen as a respite, though still insufficient for those who expected a more significant drop.
The figure is desirable, especially after months of sustained increases, but it must be considered in perspective: it is a marginal adjustment that does not change the overall economic picture. The truth is that, so far, inflation is the only black spot in Colombia’s macroeconomic data.
November inflation in Colombia fell slightly compared to October
The modest decline in annual inflation is welcome news, since in times of high global volatility and rising international prices, achieving a slowdown, even a slight one, is no small feat. However, the result remains far from the official target maintained by the Central Bank, which is 3%.
This gap shows that price control still faces structural challenges. To reach the target, inflationary pressures would need to moderate consistently for several consecutive months. That goal is not achieved through occasional fluctuations but through sustained efforts in the country’s monetary, fiscal, and economic policy.
Consequently, although November provides a positive signal, analysts and authorities will remain attentive to upcoming inflation reports to assess whether this slowdown is temporary or marks the beginning of a significant trend.
Regarding spending categories, those with the largest variations were restaurants and hotels (7.65%), education (7.36%), health (6.88%), alcoholic beverages and tobacco (6.46%), and food and non-alcoholic beverages (5.74%), the latter being the one with the greatest impact on household finances.
Below them are transportation; housing, water, electricity, gas; miscellaneous goods and services; household goods and services; clothing and footwear; information and communication; and recreation and culture.
#IPC | En noviembre de 2025, el Índice de Precios al Consumidor registró una variación mensual del 0,07%, la variación año corrido fue 4,82% y la anual 5,30%. pic.twitter.com/ULHggqul57
— DANE Colombia (@DANE_Colombia) December 5, 2025
Baseline data to calculate the minimum wage increase in 2026
November’s inflation rate becomes the formal starting point for negotiating Colombia’s 2026 minimum wage, a process already underway. Thus, the 5.3% figure sets the minimum threshold from which any wage increase proposal must begin. By law, the minimum wage increase cannot be lower than the annual inflation rate, making this figure the most decisive technical element of the negotiation.
With the data on the table, the Permanent Commission for the Coordination of Wage and Labor Policies — officially convened on December 1 — advanced this week in its first sessions, in which the government, labor unions, and business associations presented their initial positions. Although all parties acknowledge that the country is undergoing an inflationary slowdown, differences persist regarding the weight that other economic factors — such as productivity, growth, and the recovery of purchasing power — should have.
Labor unions insist that the increase should not only exceed the CPI but should reach double digits — that is, above 10%. They argue that low-income households continue to be hit by food and transportation prices, and that an adjustment is necessary to compensate for the accumulated loss in recent years.
Business associations, for their part, warn that an excessively high increase could affect formal employment and raise production costs at a time when several sectors have not yet fully recovered.
The government, acting as mediator, has called for building a “responsible and balanced” agreement, but acknowledges that the gap between initial proposals remains wide. The parties will have until December 15 to try to reach a consensus that defines the 2026 minimum wage. If no agreement is reached, the commission may extend the discussion and, if still unable to finalize the increase, the government has the last word and can — as happened last year — set the increase by decree.