Peru: Economic activity decelerates in June
August 15, 2016
In June, economic activity expanded 3.6% over the same month last year, which was slower than the 4.8% increase seen in May and fell short of the 3.7% expansion the markets had expected. Economic activity has recorded 83 consecutive months of expansion. The sustained expansion of national production has been largely driven by solid external demand for traditional Peruvian goods, according to the Statistical Institute.
Growth in economic activity was supported by healthy expansions in the mining and hydrocarbon sectors as well as solid growth in the communication, utilities and financial services sectors. Conversely, output in construction and manufacturing fell in June. Activity in the mining industry has been expanding for 16 consecutive months, driven especially by copper extraction this year, while the production of crude oil has been contracting for a year and a half.
On average, in the 12 months up to June, economic activity increased 4.0%, which was slightly below May’s 4.1% expansion.