Peru’s economy weaker than expected in August, shrinks 0.63% y/y

Economists polled by Reuters had forecast the economy would show a contraction of 0.2%.

Economic output in the world’s No.2 copper producer was dragged down by a drop in activity in sectors such as farming, manufacturing, construction and transportation, INEI said.

That performance was partly offset by an increase in mining activity, fishing and the energy sector, it added.

The latest data meant that during the first eight months of this year, the Peruvian economy contracted by 0.58%, INEI said.

A breakdown of the figures showed that manufacturing dipped by 4.11% year-on-year and construction by 9.57%. By contrast, the mining and hydrocarbon sector grew by 5.17%, while fishing posted a 49.14% jump, the figures showed.