Peru shows dynamism not seen in years: Private investment might grow by over 9%

Photo: ANDINA/Vidal Tarqui

Photo: ANDINA/Vidal Tarqui

11:11 | Lima, Nov. 20.

The Central Reserve Bank (BCR) projected that Peru's economy would experience a moderation in its growth rate in 2026, an election year, although it would still record a 2.9% rise, according to its latest inflation report.

During a teleconference, BCR's Central Economic Studies Manager Adrian Armas reported that the indicators show a favorable performance, featuring 3.3% growth in the first half of the year and signs that this momentum will continue into the third quarter.

Likewise, Armas highlighted that the international environment has been positive due to upward revisions in commodity prices, which has contributed to a better context for Peru's economy.

The official explained that the 2.9% projection for 2026 already incorporates the possibility of a slowdown associated with the electoral process, a pattern typically observed during these periods due to greater caution in economic decision-making.

"The bank's projections foresee a slowdown in growth for 2026, although it would remain at significant levels," Armas indicated.

He noted that the estimates will be updated monthly as more information becomes available.

Armas highlighted that the economy has been showing a dynamism not seen in years, including high consumer confidence, employment recovery, rising wage bill, and 9% growth in private investment during the first half of the year.

For the third quarter, a similar or even higher rate is expected, he added.

The BCR reiterated that the projected slowdown is due to factors typical of an election period, while the monthly developments will allow projections to be adjusted according to economic activity performance. 

(END) JAM/MVB

Published: 11/20/2025