Guatemalan economy should close the year stable

The projections provided by executives of Banco Agromercantil (BAM), a subsidiary of the Bancolombia group, say it is estimated that Guatemala’s economy has a growth of 3.5%, driven by the increase in domestic demand (consumption) in households, public spending and investment, according to the report of the Bank of Guatemala (Banguat).

This growth projection is subject to indicators that are in tune with official estimates, thanks to the positive performance of at least four productive activities that have registered greater dynamism, as well as the entry of foreign exchange.

Positive previsions

For Michael José Saborío, manager of the business banking division, and Carlos Ortiz, head of the BAM intelligence unit, the outlook for next year is positive for national production, in addition to showing stable performance in the indicators that aims to reach 3.5% of the growth of the Gross Domestic Product (GDP).

According to this, Saborío sure that with the change of government, signs of stability and legal certainty are likely to emerge to attract more capital, something that can translate into greater growth in the country’s economy. “There is greater investment in the construction sector, especially in housing directed for segment C, and what is needed is that the appropriate signals are given to increase this activity that has a multiplier effect,” said the executive.

For its part, Ortiz stressed that this year the construction sector has been the one that has shown the most dynamism and is pushing the economy which presented an increase in the second quarter of 9.3% as well as private services to 5%, wholesale trade and less with 4%, and manufacturing industry with 3.8%.

K.Villarroel

Source: prensalibre