Peru: Business sentiment rebounds in April
May 4, 2017
The business confidence indicator came in at 53.6 points in April, according to the Central Bank. The result was a remarkable rebound from the 43.8 points recorded in March, which had been the lowest result in 14 months. Business confidence is thus back above the 50-point threshold that separates optimistic from pessimistic territory. Devastating floods in February and March destroyed infrastructure and left 700,000 people homeless, dragging sentiment well below the 50-point threshold.
The improvement in business confidence was broad-based in April. Firms shored up their sales and production and reported higher demand last month. Survey participants were more optimistic in particular about the future situation of the economy, indicating that the situation in the country after the floods is slowly improving.