Peru Firms See 2026 Inflation at 3-4%, El Niño to Cut Sales

Peruvian companies surveyed by the central bank (BCR) raised their 2026 inflation expectation to 3-4%, and 48% expect El Niño to reduce sales, with northern regions hit harder (81% expect lower sales, 69% lower production). This signals rising inflation expectations and a negative growth outlook for Peru, potentially pressuring the central bank to tighten policy despite weaker activity.