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November Economic Activity To Grow, First Time Since April

PERU
  • Peru’s economy is expected to have grown by 0.3% y/y in November, according to Finance Minister Contreras over the weekend. This would mark an improvement from -0.8% y/y in October and would be the first positive reading since April. The data will be released later today (BBG consensus is +0.1% y/y), along with December unemployment rate data, which analysts expect to show a tick down to 6.5%.
  • On Friday, BCRP chief economist Armas said that growth would be supported by strong mining and fishing output. Nonetheless, 4Q growth would still be negative, at an expected -0.3% y/y he said. BCRP cut rates by 25bp again last week, as inflation pressures continue to recede, and economic growth remains weak. Our full review is here.
  • Separately, President Boluarte’s disapproval rating remained steady at 85% in January (vs. 84% previously), while her approval rating ticked up to 10% according to a Datum Internacional survey conducted between January 6th and 9th.

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