Puerto Rico Compass ©

Q3 2007: Are We Still in the Eye of the Storm?

The signs of storm in the indices of the last quarter were true. The six HCCG economic indices for 3rdQ of 2007 show the worst performance since the 3rd Q of 2001. The causes are both, external and internal. Among the external factors are the US economic slowdown, weakening of the manufacturing sector, financial market turbulence, specially in the subprime lending sector, and escalating energy prices. Internal factors include recession in the island’s construction and manufacturing sectors, delays in extension of the Incentives Law, and the loss of confidence of the Puerto Rican consumer. Find out what factors could return Puerto Rico to economic recovery and growth.