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Peru Business Confidence March 2021

Peru: Business confidence returns to optimistic territory in March

Business confidence rose to 51.2 in March, up from February’s 44.2 and marking a second successive increase since January’s five-month low. As a result, the index moved above the 50-threshold, separating pessimism from optimism among businesses.

The upturn in firms’ expectations was broad-based in March, and likely driven by a slight easing in domestic Covid-19-related restrictions during the month. As such, firms’ views regarding their sector, the labor market, future demand for their products, company investment and the company’s financial situation all improved, with all subindices rising into optimistic territory in the month, except for labor market expectation which remained mildly pessimistic.

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