The International Monetary Fund (IMF) has revised upwards Peru's 2017 economic growth forecast, from 4.1% to 4.3%, its latest "Outlook for Latin America and the Caribbean" report revealed.
The document also raises the Inca nation's end-2016 GDP projection from 3.7% to 4%, and places estimated growth for 2018 at 3.5%.
"In Peru, growth remains relatively resilient. Growth is expected to reach 4.3 percent in 2017 as a result of expanding copper production, higher copper prices, a rebound in regional and local public spending, and robust private consumption," IMF Western Hemisphere Department Director Alejandro Werner said.
With the output gap closing, focus should shift to gradual fiscal consolidation, while preserving public infrastructure spending, and growth friendly-structural reforms such as decreasing informality, raising the level of education, deepening capital markets, and reducing red tape.
Pacific Alliance
At 4.3%, Peru is set to post the highest expansion in the Pacific Alliance this year, followed by Colombia (2.6%), Chile (2.1%) and Mexico (1.7%), IMF data shows.
Growth forecasts for 2018 also place the Andean nation at the forefront of the bloc, this time sharing the first spot with Colombia at 3.5% each, followed by Chile (2.7%) and Mexico (2%).
(END) CNA/MDV/DHT/MVB