LIMA, June 21 (Reuters) - Peru's central bank on Friday slightly raised its economic growth forecast for the Andean nation this year to 3.1%, compared to 3.0% previously.
The monetary authority's chief, Julio Velarde, said in a presentation that main growth would come from the primary sectors involved in raw material extraction and production, particularly in fishing.
"We expect the agricultural sector to recover in the second half of the year, which would help make employment rates more interesting," he added.
Peru is a major exporter of anchovy-based fertilizer fishmeal, though its output tanked last year after the El Nino weather phenomenon warmed sea waters.
Peru's growth in 2024 would reverse last year's slight recession caused by El Nino and lingering social unrest.
The central bank hiked its estimate for public investment this year, forecasting annual growth of 12% compared to a previous estimate of 4%.
The mining sector in Peru, one of the world's largest copper producers, will likely grow less than expected, the central bank said, estimating an increase of 6.4% instead of 7.8%.
It affirmed previous estimates for this year's private investment at 2.3% and inflation at 2.2%, as costs have progressively decelerated since last year with a lower incidence of weather phenomena on food prices.
"Inflation excluding food and energy is projected to restart its downward trajectory in the coming months," said Velarde, who also left his inflation estimate at 2% for 2025, in the middle of the bank's target range.
The monetary body held its estimate for gross domestic product growth in 2025 at 3.0%, while it projected the fiscal deficit at 2.8% of GDP this year and at 1.6% next year. (Reporting by Marco Aquino; Writing by Kylie Madry and Aida Pelaez-Fernandez; Editing by Franklin Paul, Sarah Morland and Richard Chang)
