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Peru Business Confidence October 2021

Peru: Business sentiment improves in October

Business confidence increased to 43.0 in October from 35.0 in September, marking a five-month high as sentiment gradually improves from August’s 14-month low. Nevertheless, the index remained well below the 50-threshold, which separates pessimism from optimism among businesses, for the fourth consecutive month.

The improvement in firms’ expectations was broad-based in October, and was most likely caused by a reduction in political tensions throughout the month. As a result, firms’ views regarding their sector, their company’s situation, future demand for their products, and investment in their firm all rose this month, although most subindices still remained in pessimistic territory.

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