In an attempt to diversify its global partnerships, Colombia has increased relations with China. While this has opened alternative sources of financing for major infrastructure projects, the ensuing debt with China involves risks in need of mitigation. EU Member States, as like-minded countries, can play a role in this balancing-act.
Chinese Debt and the upcoming 2026 elections
Colombia’s debt with China is growing but still limited and under control in relation to the country’s total external commitments (overall public debt is at 65% of the GDP). More than 100 Chinese companies currently operate in Colombia. According to the Embassy of Colombia in China, accumulated investment in key sectors has reached $800 million, while bilateral trade in 2023 amounted to $15,307 million. There was an investment increase of 13.6% between January and September of 2024, compared to the same period in 2023.
The challenge lies in balancing different sources of financing and ensuring that they do not unduly influence political decisions in the upcoming presidential elections. Colombia must seek financing options that drive development while keeping in mind the risks involved and the need for public policies that guarantee transparency, sustainability, and real benefits for society.
Colombia's decision to seek an alternative partner like China also has a political dimension, which will undoubtedly have an effect during the 2026 presidential election period in Colombia. These decisions and the search for alternatives can be used to either strengthen or weaken the political platform of the various presidential candidates. Several presidential candidates have been on invited tours to China.
The EU’s capacity to counterbalance these developments is limited, there are still modest steps it can take to help mitigate the effects and safeguard the democratic processes ahead.
Colombia’s debt with China
Colombia’s debt with China is mostly associated with projects developed by Chinese companies under external financing schemes, particularly in infrastructure, energy, and transportation.
Chinese companies have been involved in major initiatives such as the construction of roads, railways, ports, and even clean energy projects. The loans granted are often tied to the execution of the works and, in some cases, to the acquisition of Chinese-origin technology and equipment. These agreements, although not always technically recorded as sovereign debt, do represent long-term financial commitments for the Colombian state or for public and mixed enterprises. According to Isabella Muñoz, from Invest in Bogotá, between 2019 and 2023, Chinese investment in Bogotá has been significant, with a total of 25 projects representing an estimated investment of USD450 million and approximately 2,450 jobs.
Examples of projects financed by China in Colombia:
- Bogotá Metro: one of the most emblematic projects with Chinese participation and financing. The Chinese consortium Harbour Engineering Company (CHEC) (85%) and Xi’an Metro Company (15%) are involved in the construction and financing of the first line of the Bogotá Metro, with a concession contract and loans tied to the progress of the work.
- Road Infrastructure: Chinese companies have financed and executed road projects, especially within the framework of Colombia’s fourth generation of road concessions. A recent example is the participation of China Harbour Engineering Company (CHEC) in the La Dorada–Chiriguaná corridor megaproject. The project is a 522-kilometer corridor that will cross important logistics regions as Caldas, Antioquia, Santander and Cesar and has a ten-year implementation horizon, with an estimated completion date of 2028.
- Energy: Some renewable energy projects have received financing from Chinese banks, although on a smaller scale than in other countries.
Implications and challenges of Colombia’s debt with China
Chinese debt offers advantages such as access to financing for large-scale projects, the possibility of diversifying sources of capital, and the strengthening of bilateral cooperation. It also enables progress in projects prioritized in different National Development Plans. However, there are important challenges that should be considered, publicly discussed, and at least subject to special monitoring and verification by the government:
- Transparency: Some contracts have been criticized for lack of public access to terms and conditions, making it difficult to assess their long-term sustainability.
- Dependence: There is a risk of technological and financial dependence if debt with China grows without adequate control and diversification.
- Social and Environmental Impact: Several projects financed by Chinese entities have faced criticism for potential social and environmental effects, especially in vulnerable communities. For example, the Bogotá Metro project has been questioned for lacking differential approaches in decision-making and participation processes.
- Payment Conditions: Although rates may be competitive, the terms and guarantees required must be carefully analysed to avoid excessive future commitments.
Future perspectives: Colombia’s accession to the Belt and Road Initiative
China and Colombia have formalised the cooperation plan signed by the two countries for the Belt and Road Initiative, better known as the New Silk Road, as well as Colombia’s accession to the Asian Infrastructure Investment Bank.
The Belt and Road Initiative, promoted by the Chinese government, had been explored by Colombia for some years and became a reality under President Gustavo Petro’s administration, amid distancing from traditional North American alliances. In the region, China began to position itself as an alternative to traditional multilateral organizations and western creditors. This rapprochement materialised through the offering of loans at competitive rates and flexible conditions, often tied to the hiring of Chinese companies and technology, as well as the use of Chinese labour resources in the countries where these projects are being developed.
Recently, the Colombian government had a meeting with the Chinese ambassador to continue strengthening bilateral cooperation and to advance strategic projects for the country. Highlighted projects included the reactivation of 1,500 kilometers of rail network between 2026 and 2040, as well as the Vías para la Paz strategy, aimed at improving road corridors and boosting territorial development.
Thus, several economies in the region, such as Venezuela, Brazil, and Ecuador, became major recipients of financing from institutions such as the China Development Bank and the Exim Bank, in addition to direct investments in large projects.
These capital flows from China have generated both development opportunities and challenges for the region. On the one hand, thanks to these financing processes, the execution of strategic works and access to alternative sources of financing have been facilitated, theoretically with greater flexibility in terms and requirements.
However, many questions remain about the dependence on these resources, the sustainability of such debts, the transparency of the agreements signed, and respect for human rights, especially access rights.
Nevertheless, the relationship between Colombia and China continues to grow, materialised in a variety of cooperation agreements, including railway, energy, and urban transport projects, as well as initiatives in agriculture and information technologies.
China’s outreach has an effect. Some invitees, like former presidential candidate Roy Barreras, return from China “full of enthusiasm”. Going forward, China could seek to support candidates or policies that continue to favour its strategic interests and capitalize on the currently weak political relationship between the U.S. and South America. It is evident that Trump’s statements about the need to intervene in Colombian territory, due to his differences with President Petro, have increased the country’s political distance from the United States.
Role of the European Union
China is now Colombia’s second largest trading partners. In fact, this has been used by different political parties to argue why it is better to shift Colombia’s strategic alliances, including relying on loans from China rather than from countries such as the United States or the European Union.
According to the Economic Commission for Latin America and The Caribbean (ECLAC), China has been the region’s second-largest trading partner since 2019, surpassing the European Union; showing exponential growth in foreign trade and reaching a value that is almost 38 times higher than the one recorded in 2000. This has translated into a reduction in intra-regional trade, especially with the USA – further complicating Colombia’s role in the US-China rivalry
As highlighted, Colombia is seeking to diversify its global partners. However, in this search for alternatives, it cannot overlook the fact that it shares greater common ground—particularly in social and environmental policies—with those with whom it has traditionally built alliances and cooperation mechanisms.
For example, EU member states, together with other regional partners, may collaborate with Colombia in areas such as environmental peacebuilding, sustainable development, and support for solidarity-based economic initiatives.
These efforts can strengthen local industries with differential approaches and reduce Colombia’s dependence on larger political forces. Moreover, they carry the added value of shared principles, specifically respect for human rights. Steps in this direction can build on existing EU support for Colombia’s sustainable and inclusive development. EU Global Gateway Investments have already been made in the areas of connectivity and digitalisation, climate and energy, and transport.
In a welcome development, the EU will deploy an EU Election Observation Mission (EOM) to observe the 2026 legislative and presidential elections in Colombia in response to an invitation by Colombian Registraduría Nacional del Estado Civil and the Consejo Nacional Electoral. This signals support for democracy and rule of law and contributes, in the words of Chief Observer Esteban González “to uphold[ing] the electoral guarantees in a country with a long tradition of holding transparent and credible elections” – “at a historical moment”.
The views and opinions in this article do not necessarily reflect those of the Heinrich-Böll-Stiftung European Union | Global Dialogue.
This text builds on discussions held by the “Expert Delegation on Global Power Shifts” (funded by Heinrich-Böll-Stiftung). With a focus on geopolitics, China and the role of the EU, the week-long event took place in Brussels in the early summer of 2025. It brought together academics and practitioners from the foundation’s global network.
