The Director of Western Hemisphere Department of the International Monetary Fund (IMF), Alejandro Werner, said in a press conference that Peru has adapted its economy in an orderly and responsible way to the environment of lower commodity prices on the international market way, allowing the country to register some positive results.
According to the study “Latin America and the Caribbean in 2016: adjusting to a harsh reality” from IMF, Peru will lead this year's economic growth among the countries of the Pacific Alliance (AP) integrated regional bloc with Chile, Colombia and Mexico.
In turn, the Minister of Economic Affairs of Peru, Alonso Segura, stressed that the figures released by the IMF show that "the process of acceleration of growth is consolidated and this trend will continue in the coming months". He explained that this improvement was achieved because the government took steps, which could generate every month increased production.
Watch the full press conference here: Latin America and the Caribbean in 2016: Adjusting to a Harsher Reality
The Peruvian National Institute of Statistics and Information - INEI, reported an inflation rate of 4.4% for 2015, a figure above the maximum goal level of annual inflation set at 3% by the Central Bank.
According to the INEI, the main responsible for this result were the higher prices of electricity and water. Other items that also contributed were an increase in the sector of food and beverages due to adverse weather conditions production. Likewise, the health sector also saw an increase in prices in some medications such as analgesics, antihistamines, medical services and costs of hospitalization.
The Minister of Economy, Alonso Segura, said in a news conference that despite the economic slowdown in Latin America, the Peruvian economy is recovering moderately and will reach a 2.8% growth rate this year and 3.5% in 2016.
Minister Segura explained that "for the last years there has been a large external shock, which was accentuated in the last 18 months, with dramatic falls in commodity prices, especially metals. (Despite this) The Peruvian economy has not stopped growing one month. "
This economic recovery is the result of the different policies taken since the beginning of 2014 related to expenses, taxes, streamlining administrative processes, among others, fostering domestic consumption and investments. In this period, the government issued 33 legislative decrees to facilitate and promote private investment in public private partnerships (PPP), and to expand the scope of the Infrastructure for tax program.
The Peruvian Government believes that in the coming months the economy will keep growing supported by mining projects and infrastructure projects that will start to operate soon.
Source: El Peruano.