Peru: Economic activity decelerates in August
October 19, 2012
In August, economic activity expanded 6.3% over the same month last year, which represents a deceleration compared to the 7.2% expansion observed in July. Moreover, the reading undershot market expectations of a 6.6% expansion and marked, in fact, the slowest pace since April. According to the statistical institute, growth in the construction sector as well as in services was the main driver behind the monthly increase. A month-on-month comparison confirms the slowdown suggested by the annual data, as economic activity expanded a seasonally adjusted 0.22% in August, which came in below the 0.65% increase recorded in July. As a result of the weaker annual expansion, the trend pointed downwards, with annual average growth in economic activity inching down from 6.1% in July to 6.0% in August.
Author: Ricardo Aceves, Senior Economist