City becoming one of the most prominent ‘disruptor’ locations in the entire Nearshore region

The Colombian city of Barranquilla is leading the country’s growth prospects, drawing in more business process outsourcing (BPO) companies and generating opportunities for the local economy.

Barranquilla, the country’s fourth major city, is at the heart of Colombia’s BPO-specific efforts and is representative of Colombia’s recent economic growth. The city is ideally positioned on the Caribbean coast and flanked by the Magdalena River, which provided the basis for the city’s industrial heritage,

Experts say Barranquilla has grown at a torrid pace racing to becoming one of the most prominent ‘disruptor’ locations in the entire Nearshore region. A major part of the city’s efforts to draw in more BPO companies and generate opportunities for the local economy has been driven by its education efforts.

Colombia, which now has a population of around 50 million, enjoys a strategic location at the northerly-most point of South America and so connecting to Central and North America, stands as a poster boy for the Nearshore industry.

Barranquilla benefitting from its proximity to US hubs like Miami

Despite the strong Spanish accent of local people, Barranquilla is well known for its flat English accent, meaning few companies have the need to train for accent neutralisation training. This could be attributed to the city’s proximity to US hubs like Miami, which is reached from Barranquilla on a flight lasting less than three hours.

In 2019, Barranquilla was the top city in Education First’s English Proficiency Index. Locals claim a strong cultural affinity with the United States. Though this is certainly not a unique feature in the Nearshore market, US culture feels close in Barranquilla.

In fact a major US tourist destination – Cartagena – is just up the road, means the tourism industry provides many jobs for locals and people can lay claim to having a stronger sense of US subtleties than in other cities like Bogotá or Cali. Sebastian Calvo, Site Director at Nearshore Call Center (NCC), a Colombian subsidiary of US BPO, AGR Group tells Nearshore Americas that, “Barranquilla is very Americanized. CEOs and VPs feel very comfortable here,”

The economy of Atlantico department, in which the city is located, grew faster than the national average in 2019 and Barranquilla has the lowest unemployment rate of any Colombian city of 11.5 per cent compared to the 15 per cent national average.

Atlantico and Barranquilla open for international business

According to Nearshore Americas, “Atlantico and Barranquilla have done a lot to ensure a friendly entrance into the local market for international business. The four permanent free trade zones located in or near to the city offer tax incentives while real estate prices remain significantly lower than competitor cities”.

Barranquilla has over 20 business centres with A+ category offices that cost an average of US$11.6 per m2 to rent, compared against US$12.9 per m2 in Medellin or US$16.8 per m2 in Bogotá. Internet services are a real strength of the region due to four of the 13 internet submarine cables that connect Colombia to the rest of the world arriving to Atlantico.

There is also a direct connection with the Network Access Point of Miami, giving companies the opportunity to connect more closely with the Floridian city.

“By partnering with major BPOs and adapting new education strategies, we’re making a real drive to improve English abilities here,” Miguel Vergara, the minister of economic development for the Atlantico government, told Nearshore Americas.

According to ProBarranquilla stats, 84 per cent of university graduates in the department leave university with B2 level of English. Yet not all graduates want to go into call center operations, and for the approximately 18,000 BPO job opportunities available in the city, more new English-speaking talent is needed.