Peru’s economy shrunk by 0.5% YoY in Q2 2023, marking the second straight quarter of contraction, mainly driven by a 3.9% decline in domestic demand. Although government consumption rose by 3.9%, private consumption showed only a marginal increase of 0.4%. The construction sector was notably weak, contributing to a 5.6% fall in gross fixed capital investment. However, exports surged 9.9%, supported by a 22.3% hike in mined products, while imports contracted 2.2%.