Archive

Peru GDP Growth -0.63% y-o-y in Aug-23

- Peru's GDP growth contracted by 0.63% year-on-year in August 2023, marking a slight improvement from the previous month's 1.3% decline.
- The ongoing negative growth is only the least bad since June 2023, so there is still a lot of work to do to recover from recent economic challenges.

Central Reserve Bank of Peru: Oct-23

• The Central Reserve Bank of Peru has strategically reduced the reference interest rate to 7.25%, in sync with external economist expectations, addressing ongoing inflationary pressures.
• While global and domestic inflation rates are showing a decline, the bank remains vigilant, considering potential risks from climatic factors, global economic moderation, and unforeseen external shocks.
• The bank’s monetary stance and revised interest rates for currency operations emphasize its commitment to economic stability, inflation targeting, and proactive monetary management.

Peru unemployment rate 6.6% in Aug-23

- The unemployment rate in Peru increased to 6.6% in August 2023, reaching its highest level since May 2023, indicating persistent labor market challenges.
- Despite being below the one-year and long-run averages, the elevated unemployment rate suggests the need for sustained efforts to improve labor market conditions and address potential structural issues.

Central Reserve Bank of Peru: Sep-23

• The Central Reserve Bank of Peru has decreased the reference interest rate by 25 basis points amidst above-target inflation levels and economic disruptions, including global energy and food price hikes.
• Despite inflationary pressures, there's optimism for the inflation rate to align with the target range by the start of next year, given the moderating effects of international prices and declining inflation expectations.
• The bank maintains a vigilant stance on inflation and its determinants and is committed to necessary adjustments in monetary policy for economic stability.