Peru’s economy continued to grow in April, with a 5.28% increase in gross domestic product (GDP) compared to the same month last year. This growth rate was the highest in 32 months and exceeded both analyst predictions and government expectations. The main drivers of this growth were agriculture and livestock production, as well as expansion in the manufacturing sector.
However, not all sectors of the Peruvian economy are performing equally well. The mining and hydrocarbons sector experienced a decline of 4.34% in April, ending over a year of continuous growth. This was primarily due to a 4.5% contraction in metallic mining activity. Despite this, the government remains optimistic about the overall economic outlook for May, with a focus on fishing and primary manufacturing.
In order to support economic growth, the Peruvian government increased public spending by 29% between January and May. Economy Minister Jose Arista stated that the economy grew by 4% in April and is expected to continue growing in May as well. This growth is part of Peru’s efforts to recover from the recession that began last year.
