Peru: Exports fall at record pace pushing trade deficit to over six-year high in April
June 4, 2020
Merchandise exports nosedived 56.4% over the same month last year in April (March: -29.6% year-on-year), marking the worst reading on record as heavy restrictions on movement to fight the Covid-19 pandemic impaired domestic production amid weakened external demand for goods.
Similarly, imports plummeted 33.4% on an annual basis, the worst reading since September 2009, reflecting slack domestic demand and falling production (March: -21.0% yoy).
As a result, the trade balance deteriorated notably, recording a USD 664 million deficit in April (March: 62.0 million surplus), the largest deficit since January 2014 and the first since October 2018
Author: Stephen Vogado, Economist