Peru: Business confidence moves further into optimistic territory in December
January 11, 2019
The business confidence indicator rose to 58.0 in December from November’s 55.5, and thus moved further above the 50-point threshold that separates optimism from pessimism.
A broad-based improvement in sub-indexes drove the increase in business sentiment. Expectations on both the near- and medium-term general economic situation improved. Moreover, firms had more favorable expectations for the next 3 and 12 months regarding their sector’s economic prospects and for the next 12 months the outlook on demand.. Meanwhile, expectations on the company’s situation for the next 3 and 12 months remained unchanged. On the other hand, hiring prospects for both the next 3 and 12 months declined, as did expectations for the next 3 months on the company’s demand.
Peru Fixed Investment Forecast
Panelists expect fixed investment to contract 3.9% in 2019, which is unchanged from last month’s forecast. For 2020, panel participants see investment growing 3.6%.
