Peru: Consumer confidence stable in June
August 3, 2018
The consumer confidence indicator published by GfK remained stable at May’s 90 in June. The reading reflected a deterioration in consumers’ expectations on the economy in the next 12 months offsetting improved expectations on their personal economic situations in the same time horizon. The indicator thus remained below the crucial 100-point threshold that separates optimism from pessimism among Peruvian consumers; it has been below the threshold since November 2017.
The number of consumers who believed that the new government is taking measures to boost the economy declined significantly in June. Furthermore, there was a drop in the number of respondents who believed that with Vizcarra as president it would be possible to return to economic growth. Consumers’ confidence in short-term economic improvements also continued to decrease. Respondents largely perceived the economy to be growing, but at a softer pace than before. Nevertheless, more households expected that their personal economic situation would improve in the next 12 months.
Peru Private Consumption Forecast
Panelists surveyed for this month’s LatinFocus report expect private consumption to expand 3.3% in 2018, which is unchanged from last month’s estimate. In 2019, panelists expect private consumption to grow 3.0%.