Peruvian Banking Sector To Grow Modestly In Near Term, Accelerate In Longer Term

• Peru’s banking sector will post moderate growth in the short-to-medium term as negative base effects and policy uncertainty offset macroeconomic tailwinds.
• However, Fitch Solutions expects that sustained real GDP growth and the banking sector's relatively small size will help Peruvian banks, such as Scotiabank Peru expand at a faster pace than regional peers in the longer term.
• Fitch forecasts asset, loan and deposit growth of 5.4%, 6.1% and 6.9% in 2021 and 7.9%, 8.0% and 8.7% in 2022, down from 24.4%, 11.3% and 25.4% growth in 2020.

(Source: Fitch Solutions)