Moody's plans to revise up Peru's 2021 growth projection

Photo: ANDINA/Norman Cordova

Photo: ANDINA/Norman Cordova

10:00 | New York (U.S.), Nov. 19.

Moody's Investors Service Vice-President Jaime Reusche has described as viable the new projections issued by the Ministry of Economy and Finance (MEF), which foresee that the Peruvian economy will grow 13% this year (its previous forecast was 10.5%).

"Achieving a growth of 13% this year is totally possible. We have our estimate, but we are looking to revise it upwards (it currently stands at 12%)," he told Andina news agency.

Reusche went on to say that the exact figure is not known yet, but he was confident that it will be above 13% —the GDP growth forecast made by MEF.
Economy and Finance Minister Pedro Francke on Thursday estimated that Peru's GDP would grow 13% this year, thus raising the previous growth forecast of 10.5%.

Inherent strength

In this regard, the government official affirmed that Peru's economic growth is progressing as expected.

"This is based on the economy's inherent strength, which is supporting this rebound. We have witnessed how formal employment returned to pre-pandemic levels," he said.

The minister noted that the rebound in formal employment by the end of the year has been a pleasant surprise for economic agents, although it was not significant enough to absorb the new workers entering the labor force.

Nevertheless, he emphasized that this progress will provide strong momentum for next year. By 2022, the Peruvian economy is expected to have a relatively moderate growth of 3%.


Published: 11/19/2021
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