Theory and empirical evidence indicate that ethnic-racial discrimination serves as a risk factor for adolescents' psychosocial adjustment, whereas ethnic-racial identity (ERI) development promotes positive youth adjustment and can mitigate the negative outcomes of discrimination-related risk. In Colombia, the legacies of an ethnic-racial hierarchy, "mestizaje" ideology (i.e., the assumption that everyone is racially mixed), and contemporary multiculturalism education reforms create a unique context for understanding adolescents' experiences of ethnic-racial discrimination, ERI development, and their implications for psychosocial adjustment. In this study of Colombian adolescents (N = 462; M[subscript age] = 15.90 years; 47.3% female), almost 40% of participants reported experiencing ethnic-racial-based discrimination. Experiencing more frequent ethnic-racial discrimination was associated with lower self-esteem and higher depressive symptoms, whereas higher ERI resolution (i.e., gaining sense of clarity about ethnic-racial group membership) and affirmation (i.e., feeling positively about ethnic-racial group membership) were associated with higher self-esteem and lower depressive symptoms. ERI exploration (i.e., learning history and gaining knowledge about ethnic-racial group membership) was also associated with higher self-esteem and moderated the association between discrimination and depressive symptoms, such that this association was stronger at higher compared to lower levels of ERI exploration. Findings provide novel evidence for ethnic-racial-related risk and resilience processes among Colombian youth.