Rebounding Economy To Power Import Demand, Narrow Guatemalan Current Account Surplus
Fitch Solutions /
Country Risk /
Guatemala /
Wed 07 Jul, 2021
Key View
Guatemala’s economic recovery will drive increased import demand in the quarters ahead, narrowing its current account surplus after a sharp widening in 2020.
Strong remittance inflows amid a robust US labour market will boost Guatemala’s secondary income surplus and limit the narrowing of the current account surplus.
We at Fitch Solutions have revised our 2021 current account balance forecast to 3.9% of GDP, from 4.3% previously, and our 2022 forecast to 3.5%, from 4.0% previously, as the recovery in import demand has surprised to the upside in the year through to April.