Peru’s Ministry of Economy and Finance and global rating agency Moody’s express confidence in the favorable growth of the Peruvian economy during the second half of the year.
Peru’s economy could grow 2.8% in the second half, and private investment will be a driving factor, according to Jaime Reusche, the president of the Moody’s Investors Service group.
“Business confidence could improve once this effect of the coastal El Niño dissipates, since we have already faced two consecutive shocks: the protests against Dina Boluarte and the blow of Cyclone Yaku,” Reusche said.
“Towards the third and fourth quarters of the year, we expect confidence to gradually recover the ground towards this optimistic stretch as economic activity records better results and from a much more stable or at least relatively calm political environment,” Reusche added.
“This confidence will not be resumed overnight because political and economic stability must first be consolidated,” he warned.
“Moody’s growth projection for the end of 2023 would reach 1.3%.” This perspective is based on the fact that, until May, the Peruvian economy registered an accumulated contraction of 0.5%. However, the Peruvian economy would grow 2.8% in the second half of the year,” Reusche said.
“We must remember that Peru has a Baa1 rating with a negative outlook. The negative outlook had a lot to do with the protests, but they calmed down,” he added.
