Peru's economy might grow by 3.2% in 2024, driven by fiscal stimulus following recession in 2023. It might also record a fiscal deficit of 2.8% of Gross Domestic Product (GDP), according to
"This year, it (the fiscal deficit) is expected to be slightly above 2.8% (of GDP). I estimate that this is the figure we should close the year with," he said in remarks to the press at Congress headquarters, following his presentation at the Budget Commission on Thursday.
The government official attributed the result to the fiscal measures implemented by the Executive Branch to revive Peru's economy after the 2023 recession.
"We employed fiscal stimulus at the start of this year to revive the economy, and this will enable us to reach a 3.2% growth rate by year-end, with a very promising outlook (for 2025). This will contribute to setting the foundation for solid growth next year," he pointed out.
Arista also mentioned Peru's low public debt level, which facilitated the issuance of new sovereign bonds.
"Peru's public debt level is the lowest in Latin America. We believed it was proper to utilize this tool during a challenging economic period our economy was going through," he explained.
Lastly, the minister indicated that the fiscal deficit projection for 2025 stands at 2% of Peru's GDP.