Peru Economic Growth Above Expectations

Peru's economy expanded 3.73% year-on-year in April 2026, marking the highest level in five months, accelerating from 3.21% in the previous month and well above market expectations of 3.55% growth. Economic activity was supported by broad-based gains across several sectors, particularly manufacturing (2.17%), commerce (7.31%), construction (12.88%), transport (1.44%), public administration and defense (4.08%), services (3.27%), financial services (1.01%), restaurants and hotels (4.48%), communications (1.03%), utilities (4.68%) and fishing (1.68%). In contrast, mining and hydrocarbons contracted 3.24%, while agricultural activity declined 1.64%, partially offsetting the gains recorded in other sectors. For the January–April 2026 period, Peru's economy grew 3.58% compared with the same period a year earlier. Over the twelve months through April 2026, economic activity expanded 3.59%.

Peru’s economy grew 3.21% year-on-year in March 2026, beating forecasts of 2.2% but easing from 3.68% growth in February. The expansion was driven by strong performances in construction (15.65%), trade (4.13%), other services (3.98%), and manufacturing (3.60%). Additional support came from public administration and defense (4.40%), accommodation and restaurants (4.94%), business services (3.49%), transportation (1.77%), telecommunications (1.08%), and utilities (1.33%). In contrast, mining and hydrocarbons contracted 4.56%, while fishing (-12.51%), financial services (-0.79%), and agriculture (-0.48%) also posted declines. Peru’s economy expanded 3.53% in the January-March period and grew 3.40% over the twelve months through March 2026.

Peru’s GDP grew by 3.68% year-on-year in February 2026, up from 3.54% in the previous month and above market expectations of 3.1%. Despite the country's political instability, and with recent elections last Sunday, the expansion was broad-based. Key drivers included strong growth in construction (8.9%) and commerce (6.06%), alongside gains in agriculture (0.71%), manufacturing (2.74%), transportation (4.1%), public administration and defense (3.57%), business services (4.05%), restaurants and hotels (7.22%), telecommunications (0.57%), and electricity, gas, and water (2.99%). In contrast, the key mining and hydrocarbon sector declined by 1.11%. Meanwhile, fishing contracted by 5.2% and financial services edged down by 0.25%. On a monthly basis, the seasonally adjusted production index slipped by 0.01%, reversing a 0.63% increase in the previous period, and activity grew 3.44% in the March 2025 - February 2026 period.