Despite adverse impacts, such as
El Niño Phenomenon and
social conflicts reported in the first half of this year, the Peruvian economy will continue to recover and will grow 1.1% in 2023, as well as more than 3% between 2024 and 2027, maintaining a responsible fiscal management aimed at closing gaps in infrastructure and human capital.
The economic growth recovery, starting the second half of 2023, will be supported by the improvement in domestic demand, mainly driven by private expenditure, in line with the recovery of business expectations, the dissipation of social conflicts, lower inflationary pressures, and more favorable financial conditions.
This will go hand-in-hand with measures to promote the economic revival and to address the climate emergency.
In the 2024-2027 period, the Peruvian economy will lead the economic growth, in comparison with principal countries of the region.
Thus, Peru's GDP will reach a growth rate of 3.1% on average in this period, up compared to Colombia (2.9%), Chile (2.2%) and Mexico (1.8%).
Investment in infrastructure
The increase in Peru's economic growth would be explained by higher infrastructure investment —within a context of implementing measures to secure investment in the country— an increase in mining production, a recovery of tourism-related sectors, and an improvement in external demand.
Such expansion would be backed "also by the implementation of measures for the improvement of competitiveness and productivity, which may help build new engines of growth such as the relaunch of the National Competitiveness and Productivity Plan, and the momentum generated by executive roundtables focused on sectors such as the naval industry," the MEF stated.
(END) NDP/JJN/RMB/MVB
Published: 8/29/2023