Investment grows after April fall
The monthly indicator of gross fixed capital formation advanced 0.9% monthly in May, the highest growth since July 2024, after a contraction of 1.6% in April.
This rebound was mainly driven by residential construction, which grew 7.8% monthly, partially compensating the 4.4% drop in non -residential construction, affected by weakness in public spending, according to a base bank analysis.
Despite the monthly progress, the investment continues in negative field at annual rate. The indicator fell 6.7% compared to May 2024, marking its ninth consecutive setback.
Inside, non -residential construction collapsed 17.1% per year, while investment in machinery and equipment decreased 8.2%, dragged by a decrease of 10.6% in import goods.
Machinery and equipment shows mixed performance
Although the investment in machinery and equipment did not present global monthly variation, contrasting behaviors were observed in its components: the national machinery grew 3.4%, highlighting the national transport team with a 5.8%increase, while the investment in imported transport team fell 13.6%, which led to a general contraction in import goods.
At an annual rate, investment in machinery and equipment also maintained a negative trajectory. The national component fell 3.4%and the imported one reduced 10.6%, the most affected transport being, with a collapse of 26.7%, its worst data since December 2020.
Private consumption down
In contrast to the rebound of investment, private consumption registered a monthly drop of 1.03% in May, after having grown 0.90% in April. The setback was caused by a decrease of 2.43% in the consumption of national goods, the deepest since April 2024. Instead, the consumption of imported goods grew slightly (0.25%), limiting the total fall.
At an annual rate, private consumption fell 0.88%, adding four consecutive months in negative field.
The contraction was more severe in the consumption of imported goods (-5.35%), while national goods and services barely grew 0.31%, showing a deceleration with respect to 2.82%of the previous month.
