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Country Report Puerto Rico

  • ID: 2138738
  • January 2016
  • Region: Puerto Rico
  • 17 Pages
  • The Economist Intelligence Unit
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Monthly output declined by 0.5% in November year on year, according to the Economic Activity Index (EAI) released by the Government Development Bank (GDB). However, this was a 1.3% decline on a month-on-month basis, reversing the sequential gains experienced in both September and October.

The latest data show that the economy continued to struggle to recover from a protracted recession, owing to austerity measures and weak investor confidence, amid a rising risk of a disorderly default. Last year the GDB rolled out a new measure for the EAI, and the results are slightly different from the previous series. The historical series using the new EAI methodology indicates that it serves as a closer proxy to real GNP (the official measure of the national accounts).

The index is composed of four indicators: total non-farm payroll employment (up by 0.5% year on year in November); electricity power generation (down by 0.5%); gasoline consumption (-8.8%, despite lower oil prices) and cement sales (-2.5%).

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Country Report Puerto Rico

Output declined in November 2015
Event
Analysis
Impact on the forecast

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