The Colombian peso has reached a seven-year high, and the central bank will accumulate foreign exchange reserves to guide the exchange rate downwards.

Colombia has launched a plan aimed at accumulating up to $4 billion in international reserves to help bring the country's currency down from a seven-year high. On July 31, the country's central bank governor, Leonardo Villar, announced this decision just after policymakers decided to keep interest rates unchanged. The plan will begin in early August through monthly put option auctions, with the first auction capped at $400 million.