Andina

FocusEconomics: Peru's growth in economic activity stable in August

00:00 | Lima, Nov. 7.

Economic activity expanded 2.25% year-on-year in August, matching July's Reading, the latest FocusEconomics' LatinFocus Consensus Forecast report affirmed.

According to the privately-run agency, national production in the January–August period, meanwhile, rose by 3.8% from the same period in 2017.

"Solid consumer spending drove growth in August, while exports growth softened significantly from the previous month," Moody's expressed.

"Likewise, retail sales expanded at a robust pace in August, and consumer credit growth was buoyant," it stressed.

On the external side, the deceleration in exports growth was due to a fall in foreign sales of traditional products, including: oil, natural gas, and mining products.

Non-traditional exports —on the other hand— expanded strongly, led by higher sales of agricultural and fishing products.

In terms of productive sectors, almost all sectors continued to expand. In particular, the fishing, agricultural, as well as financial and insurance sectors continued to expand solidly. The agricultural sector benefited from favorable weather conditions.

However, both the mining and construction sectors contracted.

Panelists surveyed for this month's LatinFocus report expect GDP to expand 3.8% in 2019, which is unchanged from last month's projection. For 2020, the panel expects the economy to grow 3.7%, it concluded.

(END) NDP/DTK/MVB

Published: 11/7/2018