Private Consumption To Drive Guatemalan Recovery In 2021

  • Private consumption and external demand for Guatemalan goods will power real GDP growth in 2021 in Guatemala following the COVID-19-induced recession in 2020.
  • However, the landfall of two hurricanes in November 2020 and the continued spread of COVID-19 will restrain the economic recovery in H1 2021.
  • Fitch Solutions has revised up its 2021 real GDP forecast to 3.2% y-o-y, up from 2.5% previously, due to the sooner than expected approval of a COVID-19 vaccine by Western governments, which it expects will be available in Guatemala in H2 2021.

(Source: Fitch Solutions)