Peru: Business confidence falls into pessimistic territory in March
April 10, 2015
Business confidence came in at 49.4 points in March, according to the Central Bank’s business confidence indicator. The result was a deterioration compared to the 50.2 points registered in February and marked the lowest reading since August of last year. Business confidence is now below the 50-point threshold that separates optimistic from pessimistic territory.
Businesses had lower expectations not only for the economy as a whole in the next three months but also regarding their sectors. There was only a negligible improvement in the short-term outlook for their businesses in particular. Expectations for product demand were also down in March, whereas plans for new hiring in the coming three months were unchanged. Businesses’ expectations for the economy in the coming 12 months deteriorated significantly.
Author: Carl Kelly, Economist