Peru’s economic expansion decelerated sharply in May 2026, with gross domestic product rising just 1.8% year-on-year.
The figure marks the weakest growth pace in six months, breaking a streak of expansion above 3% and signaling that the El Niño weather phenomenon is taking a tangible toll on the country’s output.
The slowdown was driven primarily by contractions in the fishing and manufacturing sectors, which are particularly vulnerable to the climatic shifts associated with El Niño.
The deceleration underscores the vulnerability of Peru’s export-oriented economy to environmental shocks, complicating the outlook for the remainder of the year.
Peru’s Multisectoral Commission for the National Study of the El Niño Phenomenon (Enfen) has previously issued a forecast predicting a moderate to strong El Niño event for the upcoming 2026-2027 summer season.
The warning highlighted the potential for prolonged disruption to key industries, including agriculture and fisheries, which are critical to the nation’s economic stability.