Puerto Rico Compass ©

Q4 2006: The Puerto Rico Economy is Still in Distress

A Review of Q4 of 2006

Puerto Rico’s economy is still far from claiming the beginning of a recovery. The leading index signals a positive 0.9% growth in Q4 of 2006. However, other indices, such as manufacturing continued falling with –0.7%, consumption and the coincident indices plunged –0.9% while banking posted 1.8% and the leading index surged to 0.9% growth. Although four of the six indices depict a negative trend, the island’s economic scene remains less volatile but still hampered by political gridlock.