Colombia's president withdraws tax reform after protests

- Colombian President Ivan Duque said yesterday he would withdraw a proposed tax reform after deadly protests and widespread lawmaker opposition, though he insisted a reform is still necessary to ensure fiscal stability.

Protests - have led to multiple deaths around the country since they began on Wednesday - continued on Sunday in some cities, despite the announcement.

Duque said on Friday the law would be revised to remove some of its most controversial points - including the leveling of sales tax on utilities and some food - but the government had previously insisted it could not be withdrawn.

"I am asking Congress to withdraw the law proposed by the finance ministry and urgently process a new law that is the fruit of consensus, in order to avoid financial uncertainty," Duque said in a video.

The reform, which the government has insisted is vital to stabilizing Colombia's finances, maintaining its credit rating and funding social programs, remains necessary, Duque said. Political parties, local officials, business leaders and civil society have contributed valuable ideas over the last several days, he said.

There is consensus on the need for temporary taxes on businesses and dividends, an increase in income tax for the wealthiest and deepened state austerity measures, Duque said.

"It is a moment for all of us to work together without malice," he said.