On Tuesday Minister of Finance Luis Miguel Castilla said Peru’s economy would likely grow by 5.5% to 6%, during the first quarter of 2012, after strong performance in the country’s construction sector, and increased capital goods, in February.

Economic expansion in March, Castilla said, could reach “a little under 7%”, Gestión reported.

"We see growth in March may be less spectacular than in February but will definitely strengthen our recovery trend."

According to a new report by the National Institute of Statistics and Informatics (INEI), the country’s economy grew by 7.18 percent in February, the largest gain in the past 6 months.

February’s growth, Castilla said, was driven by capital goods, which grew by over 30%. The Minister added that the government wants Peru's economy to grow 6% this year.

Earlier in the day, the International Monetary Fund, revised its forecast, and said Peru’s economy would grow by 5.5% this year, up from the previous 5% it predicted in January.

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