Peru: Trade deficit narrows in February, but accumulated shortfall reaches an all-time high
April 9, 2016
In February, the trade balance posted a USD 188 million deficit, which was a larger shortfall than the USD 136 million deficit recorded in the same month last year. February’s deficit represented an improvement over the revised USD 513 million deficit registered in January (previously reported: USD 477 million).
Exports suffered another profound drop in February, contracting 9.3% over the same month last year (January: -13.2% year-on-year). Meanwhile, imports fell 7.0% in February, which came in above January’s 8.6% drop.
In the 12 months up to February, the trade balance posted a record deficit of USD 3.3 billion. Since peaking at a record-high surplus of USD 9.9 billion in February 2012, the trade balance has narrowed almost uninterruptedly since then and shifted to deficit in March 2014. This trend has been driven by falling global demand and decreasing prices for traditional Peruvian exports, such as copper and gold.