Peru: Business confidence slides to six-year low in May
June 5, 2015
Business confidence came in at 45.1 points in May, according to the Central Bank’s business confidence indicator. The result was a deterioration compared to the 46.7 points registered in April and marked the lowest reading in six years. As a result of the deterioration, business confidence is further below the 50-point threshold that separates optimistic from pessimistic territory.
Businesses had lower expectations for the economy in the next three months as well as for the coming 12 months. They also had lower expectations regarding their particular sectors and own business in the following months. On a positive note, expectations in terms of new hiring in the next three months were slightly higher. While most forward-looking components of the index weakened, opinions regarding the current situation were mixed.
Author: Carl Kelly, Economist