UPDATE 1-Peru July trade surplus falls 25.4 pct on year

(Adds percentage decline, details, background)

LIMA, Sept 14 (Reuters) - Peru's trade surplus narrowed by 25.4 percent to $865 million in July from $1.16 billion in the same month a year earlier as imports jumped, the central bank said on Friday.

Exports during the month totaled $2.62 billion, while imports were $1.75 billion, compared with $1.2 billion in July 2006, the bank said.

The South American country's trade surplus hit a record $8.9 billion last year as the economy expanded by more than 8 percent, led mainly by high prices for mineral exports.