Peru Business Confidence May 2021


Peru: Business sentiment rises in May, remains in pessimistic territory

June 3, 2021

Business confidence rebounded to 44.8 in May, up from 39.7 in April which had marked an eight-month low. As a result, the index remained below the 50-threshold, separating pessimism from optimism among businesses.

The improvement in firms’ expectations was broad-based in May, but was likely suppressed by uncertainty surrounding early June’s presidential run-off election between two divisive candidates. Nevertheless, firms’ views regarding their sector, the labor market, future demand for their products, and the company’s financial situation all rose, although the subindex for company investment fell further this month.

The LatinFocus Consensus Forecast panel sees fixed investment surging 15.2% in 2021, which is down 0.1 percentage points from last month’s forecast, and growing 4.5% in 2022.

Author:, Economist

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Peru Business Confidence Chart

Peru Business Confidence May 2021

Note: Business Confidence Index (Ïndice de Confianza Empresarial). Values above 50 indicate an optimistic assessment of the business climate while values below 50 indicate a pessimistic assessment.
Source: Peru Central Bank (BCRP).

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