Peru’s credit rating remains negative and has already moved to a negative outlook due to the counterproductive impact of political uncertainty and deteriorating governance on the economy, Fitch Ratings said in its latest report. La República reported this on April 26.
The ratings agency, which published its results, noted low levels of trust in President Dina Boluarte, as well as decisions such as withdrawing funds from pension funds. At the same time, it is reported that the macroeconomic policy followed by Lima has managed to overcome political vicissitudes, the model will be “tested.”
Regarding the economic outlook, Fitch predicts that after the 0.6% contraction of GDP recorded in 2023, the country could close this year with a gain of almost 2.6% due to the rebound effect. In this context, the South American country can overcome a budget deficit estimated at 2%, although external financing of about 10 billion dollars (920 billion rubles) is required, equivalent to 3.8% of its GDP, to maintain the stability of its economy.
Source: Rossa Primavera
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