Colombia · Markets

In Colombia, the World Cup has arrived alongside an awkward piece of timing: borrowing money to enjoy it has just become more expensive by law.

Why Colombia’s World Cup Shopping Just Got More Expensive on Credit. (Photo internet reproduction)

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As the 2026 World Cup kicks off, Colombian football fans are reaching for their wallets. Many are paying with credit, and the cost of doing so has just climbed.

The reason is a technical change with a very real effect on shoppers. Colombia has raised what it calls the usury rate, the legal ceiling on how much interest a lender is allowed to charge.

For a reader abroad, the usury rate is simply the maximum interest permitted by law. When the authorities lift that ceiling, banks and shops can charge more for credit-card balances and instalment plans.

The timing is what makes it sting. The increase arrives exactly as the tournament tempts Colombians to spend on match tickets, team shirts, televisions and trips to watch the games.

How the rate cap squeezes World Cup spending in Colombia

Much of this spending is not paid for upfront. Colombian consumers lean heavily on credit cards and on the instalment plans that stores offer at the till.

When the legal ceiling rises, the interest attached to those purchases can rise with it. A television or a flight bought on credit today can end up costing noticeably more by the time it is paid off.

Property advisers have flagged a parallel effect in the wider economy. Some report that businesses which failed to lock in deals early now face costs that have jumped sharply, a sign of how quickly dearer credit ripples outward.

The mechanism is worth spelling out plainly. The usury rate is recalculated regularly and tracks the cost of money in the wider economy, so when interest rates stay high, the ceiling tends to drift upward with them.

A higher ceiling does not force every lender to charge more, but it removes the legal brake. In a market where demand for credit is rising with the football, that headroom usually translates into dearer borrowing.

The pressure is heavier because Colombian borrowing was already costly. The central bank’s benchmark interest rate sits near ten percent, among the highest of the major Latin American economies.

Why households feel it so quickly

Family budgets in Colombia are already stretched thin. Surveys suggest the large majority of citizens see any extra income swallowed up by everyday living costs.

That leaves little spare cash for a one-off splurge on the football. For many fans, enjoying the tournament means borrowing, and borrowing now carries a higher price tag.

There is a darker side to the same story. When legal credit grows expensive, some borrowers turn to informal lenders, whose rates are far harsher and whose collection methods can be dangerous.

For a foreign reader, the episode is a small window into a stretched economy. It shows how a quiet regulatory tweak can reach all the way into a household’s decision about whether to enjoy a global sporting party.

A backdrop of high stakes

The squeeze also carries a political charge. It unfolds days before a tense presidential runoff on June 21, a vote in which the cost of living has been a central theme.

Whoever wins will inherit an economy with stubborn inflation, heavy public debt and some of the dearest credit in the region. For ordinary Colombians, the price of a World Cup television is one more reminder of that strain.

The lesson reaches beyond the football. It is a reminder that in a high-rate economy, the cost of a celebration is measured not just in the sticker price but in the interest that follows it home.

Frequently Asked Questions

What is Colombia’s usury rate?

It is the legal ceiling on how much interest a lender in Colombia is allowed to charge. When the authorities raise it, banks and shops can legally charge more for credit cards and instalment purchases.

Why does this matter during the World Cup?

Many Colombians buy tickets, travel and merchandise on credit. With the rate cap higher, those purchases can carry more interest, making it costlier to enjoy the tournament.

How expensive is borrowing in Colombia?

The central bank’s benchmark rate sits near ten percent, among the highest of the major Latin American economies. That makes consumer credit unusually dear even before the higher ceiling is applied.