Peru: Business confidence falls to lowest level in almost two years
July 12, 2013
The Central Bank's business confidence indicator (Indice de Confianza Empresarial) fell from 54 points in May to 51 points in June, which represents the lowest level in 22 months. As a result, the index is now just a tad above the 50-point threshold that separates optimism from pessimism.
The monthly drop was broad-based, but was particularly led by a decline in businesses' overall demand expectations for the next three months. In addition, respondents to the June survey maintained a positive assessment regarding their financial situation as well as their access to credit, but their view was less optimistic than in the previous month.
FocusEconomics Consensus Forecast panellists expect fixed investment will grow 11.2% this year, which is unchanged from last month's forecast. For 2014, participants see investment growing 10.4%.
Author: Ricardo Aceves, Senior Economist