Peruvian economy grows just 2.9% in September

Over the weekend, Peruvian business journal La República reported on updated statistics released by the National Institute of Statistics and Information (INEI) of Peru that the Peruvian economy grew by just 2.95% in September over the previous year. Most analysts had predicted slightly stronger growth, and the INEI noted that increased consumer spending drove September’s economic growth.

In related news, Bloomberg reported that the Peruvian central bank board decided to keep the bank’s rate at 3.5%, in order to maintain its stimulus of the Peruvian economy. Analysts that Bloomberg spoke with argued that Peruvian economic growth has been driven exclusively by the mining industry, so the stimulus is needed to encourage growth in consumer spending and domestic demand.

In mining-related news, Andina news agency reported on an operation against illegal mining carried about by hundreds of Peruvian police officers high up in the Andes Mountains, near Puno. The Peruvian authorities destroyed 18 illegal mining camps, including heavy machinery and motorized water pumps.

Elsewhere, El Comercio reported that illegal miners have arrived at the Tambopata National Reserve, an area that was supposedly protected from mining. Locals have asked for the support of the Peruvian armed forces, as they are unable to intervene without help from the central government. According to Peruvian government officials, the armed forces’ hands are tied, as the Public Ministry has authorized just two raids per month against illegal mining.