Investment Bank Credit Suisse pointed out a greater dynamism of the domestic demand and a reversion derived from supply shocks will boost Peru’s gross domestic product (GDP) in 2015.
According to the chief economist for Peru at Credit Suisse, Juan Lorenzo Maldonado, the Central Reserve Bank revised its growth forecast for fiscal 2015 from 5.5% to 4.8% in its latest quarterly Inflation Report.
The Central Bank’s projection for this year is higher than that estimated for 2014 (2.4%)
“The real GDP growth expected for 2015, as compared to 2014, is driven by the reversion derived from supply shocks -which affected the economy in 2014- and by a surge in domestic demand,” the analyst added.
In addition, the 2015 domestic demand will be supported by the rising confidence of businesses, an increased public sector spending and an expansionary monetary policy.
The issuing entity expects a strong performance by the mining sector will help the country achieve a 6% growth rate in 2016.
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Published: 1/27/2015