OREANDA-NEWS. Fitch Ratings expects Colombian Subnationals to remain stable during 2016, despite the current slowdown of economic activity, according to a new report published today.

Fitch recognizes 2016 will face the normal slowdown at the local and regional economies. The newly elected governments, taking office from January 2016, will spend the first half of year preparing and seeking approval of their Local Development Plans.

Fitch also expects not only sluggish collection of local taxes linked to industry, commerce and consumption activities during 2016, but also moderate debt growth. Fitch does not expect major changes in local and regional governments (LRGs) ratings in the near future, but will monitor the evolution of the industrial and construction sectors, as lower-than-expected results could create additional problems for LRGs.