Guatemala: Economic activity slows in October
December 10, 2011
In October, economic activity rose a paltry 2.3% over the same month the year before, according to the monthly indicator for economic activity (IMAE, indice Mensual de la Actividad Economica). The subdued reading came in below the revised 4.3% expansion observed in September (previously reported: +5.4% year-on-year) and represents the weakest expansion since December of 2010. As a result of the October reading, the trend remained flat, with annual average growth in economic activity remaining at September's 3.7%. On a monthly basis, economic activity grew a seasonally adjusted 0.22% in October, which followed an expansion of the same magnitude in September. The Central Bank estimates that the economy has grown 3.8% in 2011. For 2012, the Bank expects economic growth to slow to between 2.9% and 3.3%.
Author: Ricardo Aceves, Senior Economist