Puerto Rico Compass ©

Q2 2009: Is the Worst over for Puerto Rico’s economy?

The good and bad news of the economic indices

During the first six months of this year, the PR economy posted negative numbers. How long will this last? Will recovery start soon? Governor Fortuño’s economic proposals combined with President Obama’s American Recovery Plan are expected to finally spur growth in the island but it will take time. Construction is still in recession but hopefully not for long. Manufacturing is also stalling and losing jobs. Banking is positive but close to zero growth. Overall, the consumer and the economy have posted negative results. The leading index does not augur a quick turnaround. The problem for the local government will not be a lack of money to increase investment and boost the economy. Instead, the challenge is how efficient, effective, and fast will it do it.