Domestic demand in Peru expanded 4% in the first quarter of 2018 —over the same period in 2017— due to the recovery in consumption, private investment, and public spending, BCR reported.
According to BCR,
private investment recovery was generated in a context of higher mineral prices.
Domestic demand growth came after the decrease (-0.4%) registered between January and March 2017 due to
Coastal El Niño phenomenon and public investment contraction.
Public spending recovered in the first three-month period of 2018 mainly due to rehabilitation and maintenance works.
Likewise, an increase in
private investment was registered as the outcome of terms of trade improvement.
Domestic consumption
Likewise, the improvement in domestic cement consumption, capital good imports, credit, financial leasing, and
business confidence proved a greater dynamism in
mining and non-mining investments.
(END) JAA/MVB