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The Peruvian economy will have lower growth than expected last year, the Central Reserve Bank (BCR) said.
BCR President, Julio Velardeclarified that the gross domestic product (GDP) of the country will be 2.6%, and not 2.9% as a result of social conflicts and rains.
“We are waiting height lower than three months ago due to the impact of the protests. The impact of the protests in January amounted to 4% of GDP. We have lowered (GDP forecast for 2023) from 2.9% to 2.6%,” Velarde said during the presentation of the inflation report this month.
Velarde noted that growth is expected to be around 1% in January but ended up falling 4%, with a slight recovery expected in February but more impact expected in March due to the weather.
Despite this, it is expected that Peru continues to rise above the Latin American average.
“We don’t see a recession scenario this year,” Velarde said.
While business expectations eased significantly in January, there is a recovery in February due to less intensity protests.
One of the concerns commented by the BCR president is that private investment will decline again by 0.5% in 2023, despite a scenario of a gradual recovery in business confidence.
Concerning 2024BCR points out that the 3% GDP growth forecast for next year is still in place.
Source: RPP
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.