Domestic demand in Peru increased 4.3% in 2018 compared to the previous year. Plus, it boosted GDP’s 4% growth after the negative impacts of supply shock —that affected the economy in 2016— dissipated, Central Reserve Bank (BCR) informed on Friday.
According to the issuing entity, this expansion rate is the highest since 2013 when it reached 7.2%.
Likewise, it indicated domestic demand recovery was underpinned by the positive evolution of private mining investment, as well as sustained private consumption growth.
Therefore, private consumption rose 3.8%, and private investment expanded 4.4% in 2018. Both figures were greater than the ones posted the previous year (2.5% and 0.2%, respectively).
Furthermore, public investment reversed the decrease registered in 2017. It was driven by the amount invested in the Lima 2019 Pan American and Parapan American Games, as well as in road infrastructure works developed by local governments.
It must be noted private investment performance in 2018 was boosted by mining investment, which amounted to US$4.947 billion, exceeding the figure recorded in 2017 by US$1.019 billion (+22.9%).