# Value of 2004 Colombian Pesos today

\$100 in 2004

\$188.71 in 2019

The inflation rate in Colombia between 2004 and today has been 88.71%, which translates into a total increase of \$88.71. This means that 100 pesos in 2004 are equivalent to 188.71 pesos in 2019. In other words, the purchasing power of \$100 in 2004 equals \$188.71 today. The average annual inflation rate has been 4.05%.

## Inflation timeline in Colombia (2004-2019)

The following chart depicts the equivalence of \$100 throughout the years due to inflation and CPI changes. All values are equivalent in terms of purchasing power, which means that for each year the same goods or services could be bought with the indicated amount of money.

All calculations are performed in the local currency (COP) and using 6 decimal digits. Results show only up to 2 decimal digits to favour readability. Inflation data is provided by governments and international institutions on a monthly basis. Today's values were obtained by estimating figures from recent trends.

The following table contains relevant indicators:

Indicator Value
Total Inflation (2004-2019) 88.43%
Total Inflation* 88.71%
Annual inflation avg. (2004-2019) 4.31%
Annual inflation avg.* 4.05%
CPI 2004 62.03
CPI 2019 116.88
CPI today* 117.05
\$1 in 2004 \$1.88 in 2019

* Values extrapolated from the last official data to obtain today's values.

## How to calculate today's value of money after inflation?

There are several ways to calculate the time value of money. Depending on the data available, results can be obtained by using the compound interest formula or the Consumer Price Index (CPI) formula.

#### Using the compound interest formula

Given that money changes in time as a result of an inflation rate that acts as a compound interest, the following formula can be used: FV = PV (1 + i)n, where:

• FV: Future Value
• PV: Present Value
• i: Interest rate (inflation)
• n: Number of times the interest is compounded (i.e. # of years)

In this case, the future value represents the final amount obtained after applying the inflation rate to our initial value. In other words, it indicates how much are \$100 worth today. There are 15 years between 2004 and 2019 and the average inflation rate has been 4.049%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = \$100 * (1 + 0.04)15 = \$188.43

#### Using the CPI formula

When the CPI for both start and end years is known, the following formula can be used:

Final value = Initial value *
CPI final/CPI initial

In this case, the CPI in 2004 was 62.03 and the CPI today is 117.05. Therefore,

Final value = Initial value *
CPI final/CPI initial
= \$100 *
116.88/62.03
= \$188.43

### Colombia inflation - Conversion table

Initial Value Equivalent value
\$1 peso in 2004 \$1.89 pesos today
\$5 pesos in 2004 \$9.44 pesos today
\$10 pesos in 2004 \$18.87 pesos today
\$50 pesos in 2004 \$94.36 pesos today
\$100 pesos in 2004 \$188.71 pesos today
\$500 pesos in 2004 \$943.57 pesos today
\$1,000 pesos in 2004 \$1,887.14 pesos today
\$5,000 pesos in 2004 \$9,435.71 pesos today
\$10,000 pesos in 2004 \$18,871.41 pesos today
\$50,000 pesos in 2004 \$94,357.07 pesos today
\$100,000 pesos in 2004 \$188,714.13 pesos today
\$500,000 pesos in 2004 \$943,570.66 pesos today
\$1,000,000 pesos in 2004 \$1,887,141.31 pesos today

Period Value
2004 100
2005 105.5
2006 110.61
2007 115.56
2008 122.14
2009 131.52
2010 134.14
2011 138.42
2012 143.57
2013 147.07
2014 149.92
2015 155.4
2016 165.91
2017 175.45
2018 182.61
2019 188.43
Today 188.71