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Peru central bank cuts 2019 growth forecast to 2.5%

Banco Central de Reserva del Perú lowered its economic growth projection for 2019 to 2.5% from a previous estimate of 2.7%, Gestión reported, citing Central Bank Governor Julio Velarde.

The Peruvian economy has been performing weaker than expected this year, growing 2.2% up to September as opposed to the central bank's 2.6% forecast, Velarde said.

Sluggish public investment, which is expected to post near-zero growth this year, has also driven the revision in the growth forecast, the central bank head said.

The central bank maintained its GDP growth estimate for 2020 at 3.8%, on the back of a recovery in investment.