Guatemala: Economic activity slows in June
August 10, 2011
In June, economic activity increased 2.4% over the same month last year, according to the monthly indicator for economic activity (IMAE, indice Mensual de la Actividad Economica). The June outturn was slightly below the revised 2.5% expansion observed in May (previously reported: +2.7% year-on-year) and marked the slowest pace since October 2010. A month-on-month comparison confirms the deceleration suggested by the annual figures, as economic activity expanded 0.22% in seasonally adjusted terms, which was a touch below the 0.24% increase tallied in May. As a result of the June expansion, the trend continues to point downwards, with annual average growth in economic activity dropping from 3.5% in May to 3.3% in June, suggesting that the recovery process is losing momentum. Meanwhile, the Central Bank expects the economy to grow between 2.9% and 3.2% this year.
Author: Ricardo Aceves, Senior Economist