Pubdate: 10 June 1999
Source: Daily Telegraph (UK)
Copyright: of Telegraph Group Limited 1999
Contact:  http://www.telegraph.co.uk/
Author: Jeremy McDermott, in Medellin

DRUG MONEY GIVES BOOST TO COLOMBIA'S ECONOMY

COLOMBIA, which is suffering its worst recession for over 50 years, is to
include income from illegal drugs in official calculations of its gross
domestic product to try to boost the figures.

Juan Camilo Restrepo, the Finance Minister, said the move was part of a new
formula adopted by the state-run National Statistics Department. He said:
"It doesn't mean they're being validated or given some kind of blessing."
Mr Restrepo said the measure was likely to ensure GDP rose "a little bit".

Jairo Urdaneta, head of the national accounting office, said that reported
economic growth could increase by a full percentage point. Colombia is the
world's largest producer of cocaine, and, increasingly, of high-purity
heroin. Mr Urdaneta said annual income from drug plantations would be
valued at more than pounds 320 million.

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