Peru Economy Grows for 8th Consecutive Quarter

Peru's economy expanded 3.2% year-on-year in Q4 2025, down from 3.8% in Q3 and marking the eighth consecutive yearly expansion, supported by strength in domestic demand (5.2%). Private consumption rose (3.1% vs 3.6% in Q3), driven by higher employment and increased labor income. Government spending slowed (1.5% vs 4.7%), fueled by higher expenditures on public administration and defense, as well as on public education and public health. Gross fixed investment increased faster (10.8% vs 10.7%), with public and private investment rising by 5.8% and 12.3%, respectively. Meanwhile, net trade contributed modestly to GDP, as exports rose 5.3% and imports increased 11.6%. By sector, output grew mainly in transformation (4.7%), services (3.4%), and extractive industries (0.0%). On a seasonally adjusted basis, the economy grew by 0.6%.

Peru's economy expanded 3.4% year-on-year in Q3 2025, up from a downwardly revised 2.6% in Q2 and marking the seventh consecutive yearly expansion, supported by strength in domestic demand (6.6%). Private consumption rose (3.2% vs 2.9% in Q2), driven by higher employment and increased labor income. Government spending also accelerated (4.7% vs 3.7%), fueled by higher expenditures on public administration and defense, as well as on public education and public health. Gross fixed investment increased faster (10.1% vs 7.8%), with public and private investment rising by 3.5% and 12.2%, respectively. Meanwhile, net trade contributed modestly to GDP, as exports rose 1.2% and imports increased 11.6%. By sector, output grew mainly in extractive industries (4.7%), services (3.1%), and manufacturing/transformation (2.3%). On a seasonally adjusted basis, the economy grew by 1.2%.

Peru's economy expanded 2.8% year-on-year in Q2 2025, slowing slightly from 3.9% growth in the previous period and marking the sixth consecutive yearly expansion, supported by strength in domestic demand (6.0%). Private consumption eased (2.9% vs 3.8% in Q1), driven by higher employment and increased labor income. Government spending also eased (3.7% vs 4.7%), fueled by higher expenditures on public administration and defense, as well as on public education and public health. Gross fixed investment increased faster (7.8% vs 4.0%), with public and private investment rising by 3.2% and 9.8%, respectively. Meanwhile, net trade contributed modestly to GDP, as exports rose 2.7% and imports increased 13.9%. By sector, output grew mainly in manufacturing/transformation (3.0%), services (2.8%), and extractive industries (1.3%). On a seasonally adjusted basis, the economy grew by 0.5%.