Ecuador: Contraction in economic activity intensifies in June
August 11, 2016
In June, economic activity recorded an annual decrease of 2.1%, according to the monthly indicator for economic activity (IDEAC, Índice de Actividad Económica Coyuntural). The print was a more pronounced decline than May’s revised 1.6% decrease (previously reported: -1.7% year-on-year). Despite the negative tally, June’s reading was markedly above April’s figure of a 14.5% decline, which had marked the largest drop in over six years and mainly reflected the calamitous impact of April’s colossal earthquake on the Ecuadorian economy.
On a month-on-month basis, economic activity in June increased 0.50% in seasonally-adjusted terms, which was up from the revised 0.06% increase recorded in May (previously reported: +0.46% month-on-month). The annual average variation in economic activity was steady at minus 4.8% in June, thus matching May’s result.
Author: David Ampudia, Economist