LIMA, Nov 12 (Reuters) - Peru’s central bank said on Friday that the country is on track to exceed its 2019 pre-pandemic gross domestic product next year, according to Adrian Armas, the bank’s head of economic studies, amid a strong economic recovery. If trends hold, Armas said, “Peru will be one of the few economies in the region where the GDP for the year will be higher than it was in 2019,” he said in a call with reporters. Central bank president Julio Velarde said on Thursday that Peru’s economy could grow 13.2% in 2021, while the official forecast stands at 11.9%. Armas added that the bank is “highly likely” to lower its fiscal deficit guidance for the year, which currently stands at 4% of GDP, due to higher tax revenue and economic output. The bank also estimated that the economy grew between 8.5% and 9.5% in September, ahead of official data set to be released on Dec. 15. The central bank raised the interest rate on Thursday to 2%, its fourth hike in a year amid persistent inflation. Peru’s economy shrank by 11.1% in 2020, one of the worst contractions in Latin America due to very strict lockdown measures during the pandemic that brought the country’s economy to a halt. (Reporting by Marco Aquino; Editing by Kirsten Donovan)
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