The private investment will fall 2.5% this year with a slight recovery during the second semester in a scenario of gradual recovery of business confidence, according to the Central Reserve Bank of Peru (BCRP).
“We are now estimating that the mining investment is going to fall 18.9% and that non-mining is going to fall 0.5%, it will be a total fall in investment this year of 2.5%”he claimed Julio Velardepresident of the BCRP, during the presentation of the Inflation Report – June 2023. In addition, he added that growth of 1.8% is expected for next year.
In this sense, he stressed that there will be some recovery of the mining investment for some projects that have already been announced. However, he stressed that these are not yet of the magnitude of the placements registered in the third quarter of last year. “We expect mining investment this year (to be) almost US$4.7 billion, but to a large extent they are investment in already existing mines to maintain production,” he said.
Public investment would grow 1.5%
On the other hand, the president of the BCRP pointed out that the growth projection of public investment for this year is 1.5%. This is driven by a 17.8% growth in national government investment and a 4.1% contraction in subnational governments.
“For next year we hope that the situation of local and regional governments will normalize and this subnational investment will grow by 6.2% and that public investment will be 4%,” he said.
Source: Larepublica
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