Peru GDP


Peru: Economy maintains momentum in the final quarter

February 25, 2011

In the fourth quarter, GDP expanded 9.2% annually, according to Central Bank data. The reading was slightly below the 9.6% expansion observed in the third quarter (previously reported: +9.7% year-on-year) but beat market analyst expectations, which had the economy growing 9.0%. The fourth quarter reading represented the fifth consecutive quarter of expansion. In the full year 2010, the economy posted growth of 8.8%, which marked a solid recovery from last year's 0.9% contraction. Strong growth in the fourth quarter was fuelled by positive developments in the domestic sector, whereas the external sector continued to deteriorate, on the back of slower export growth. Total consumption posted a 6.7% expansion in the final quarter (Q3: +6.6% year-on-year) and gross fixed investment recorded another strong quarter, growing 22.6% annually (Q3: +27.5% yoy). In addition, domestic demand was favoured by an upward shift in inventories which contributed 2.0 percentage points to overall growth. Exports of goods and services decelerated sharply from a 7.0% expansion in the third quarter to a 2.7% increase in the fourth. Similarly, imports rose 23.4% year-on-year in the final quarter, below the 35.3% expansion observed in the third quarter. As a result, the net contribution from the external sector to overall growth stepped up from minus 5.5 percentage points in the third quarter to minus 4.1 percentage points in the fourth. At the sector level, the fourth quarter reading reflected strong, but slower growth in the services and industrial sectors. The agricultural sector, on the other hand, grew 6.5% in the final quarter of 2010, faster than the 2.7% increase observed in the third quarter. Meanwhile, Finance Minister Ismael Benavides stated that the economy can easily rise 7.5% this year. Central Bank President Julio Velarde has also stated that the economy may grow 7.0% in this year, suggesting that monetary authorities will revise their previous 6.5% estimate. For 2012, the Bank sees the economy expanding 6.0%.

Author:, Senior Economist

Sample Report

Looking for forecasts related to GDP in Peru? Download a sample report now.


Peru Economic News

  • Peru: Economic activity growth picks up in February

    April 15, 2019

    Economic activity expanded 2.1% year-on-year in February, picking up some pace from January’s subdued 1.6% increase, which had marked the weakest reading in over one year.

    Read more

  • Peru: Central Bank stands pat at March meeting

    April 12, 2019

    At its monetary policy meeting on 11 April, the Central Bank of Peru (BCRP) kept the policy interest rate unchanged at an eight-year low of 2.75%, matching market expectations.

    Read more

  • Peru: Consumer confidence plummets in March

    April 6, 2019

    The consumer confidence indicator published by GfK tumbled to 94 in March from 104 in February, which had marked the best result in over two years.

    Read more

  • Peru: Trade surplus narrows further in February on dwindling exports

    April 5, 2019

    Peru’s trade balance recorded a USD 326 million surplus in February, narrowing from January’s USD 449 million surplus and also lower than the USD 552 million surplus recorded in the same month of last year. Exports declined 3.8% year-on-year in February, due to a drop in prices, following January’s sharper 4.1% fall.

    Read more

  • Peru: Businesses grow more optimistic in March

    April 5, 2019

    The business confidence indicator rose from February’s 58.5 to 59.6 in March, and thus moved further above the 50-point threshold that separates optimism from pessimism, where it has been for almost two years. March’s improvement came chiefly on the back of better prospects on the general economic situation, as well as on demand prospects.

    Read more

More news

Search form