Costa Rica: Economic activity decelerates in August
October 11, 2012
In August, economic activity increased 3.2% over the same month last year, according to the monthly index of economic activity (IMAE, Indice Mensual de Actividad Economica). The figure, the lowest since April 2011, came in below the revised 4.0% expansion recorded in July (previously reported: +4.5% year-on-year). As in previous months, the deceleration was mostly driven by softer growth in the manufacturing sector. Compared to the previous month, economic activity fell 0.21% in seasonally adjusted terms, which followed the 0.34% contraction recorded in July. As a result of the weaker annual reading, annual average economic growth inched down from 6.0% in July to 5.9%, thus breaking the upward trend initiated in mid-2011. According to the latest revision to the Macroeconomic Programme 2012-2013, the Central Bank sees the economy expanding 4.8% this year. For 2013, the Bank expects economic growth to slow to 4.2%.