Puerto Rico’s Economic Activity Index was up for the fifth consecutive month in November.
The index increased 0.7% from October and 3.5% from November 2020, according to the Economic Development Bank for Puerto Rico.
“The economy of Puerto Rico is doing very well,” said Advantage Business Consulting President Vicente Feliciano. “Employment has been recovering faster from the COVID-induced plunge than what is observed in the United States. Reconstruction efforts seem to be gaining traction.
“Of course, some risks remain,” he said in an email. “Retailing (and thus [sales and use tax] collections) as well as tourism (and thus room tax collections) were hit by the spike in COVID cases during the latter half of December 2021.”
In November all four measures that determine the index were up both month-to-month and year-to-year. Non-farm payroll employment, electric power generation, a three-month moving average of gasoline consumption, and cement sales improved.
Over the long term, Puerto Rico’s economy has contracted. The Economic Activity Index is down 9.5% from November 2012, the furthest back ECD data provided.
U.S. Bureau of Labor Statistics employment data about the island tells a similar tale. The bureau’s household survey shows that November employment was up 4.7% from November 2020 but down 2.1% from November 2011, showing the changes from a decade prior.
The bureau also releases an employment report based on a survey of non-farm employers. This showed November employment was up 3.3% from a year earlier but down 6.9% from November 2011. This November’s employment total is the bureau’s preliminary estimate. This survey excludes those who are self-employed.
The bureau seasonally adjusted the employment data used in this story.
