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LIMA, March 15 Peru's economy grew by a
better-than-expected 4.8 percent in January from the same month
a year earlier due to mining and manufacturing activity, the
quickest monthly expansion in five months, state statistics
agency Inei said Wednesday.
A Reuters poll had forecast January growth at 4.5 percent.
Inei said that the annualized growth rate quickened slightly
to 4 percent but that the economy contracted at a seasonally
adjusted rate of 0.1 percent in January from December.
January growth was driven by a 14 percent expansion in
mining, a 5 percent growth in manufacturing and a surge of
fishing. However, the construction sector continued to contract
amid a graft scandal that has stalled public work projects.
Peru is the world's second biggest copper producer and its
economy has gradually recovered from a sharp slowdown in 2014
thanks to production from new and expanded copper mines.
However, an inquiry into bribes distributed by Brazilian
construction company Odebrecht has stalled public work projects
and prompted the government to cut its 2017 growth forecast by
one percentage point to 3.8 percent.
(Reporting by Teresa Cespedes; Editing by Phil Berlowitz)