Country Profile
From The Report: Peru 2018
View in Online Reader

With an average growth rate of 5.9% over the past decade, Peru’s economy has consistently outperformed most regional neighbours. Politically, the country has recently emerged from a period of instability and security concerns to rank among the top investment destinations in the developing world. That said, corruption continues to be a concern, particularly in the wake of several recent scandals that shook the country’s traditional political establishment. Aggravating this problem, a divided Congress has failed to reach any bipartisan agreement to push through much-needed anti-corruption reforms. However, the emergence of Martín Vizcarra, who assumed the presidency after Pedro Pablo Kuczynski’s resignation in March 2018, offers new hope to investors and Peruvians alike. Although it is still too early to assess his leadership, President Vizcarra has already shown promising signs that his administration will make concerted efforts to combat corruption, rebuild business confidence, encourage investment and increase economic growth. This chapter contains interviews with President Martín Vizcarra Cornejo; Sebastián Piñera Echenique, President of Chile; Liam Fox, UK Secretary of State for International Trade; and Juan Manuel Santos, Former President of Colombia; and Former President Pro Tempore, Pacific Alliance.

 

Articles from this Chapter

Overview

Vast and varied: An introduction to Peru’s history and culture
OBG
plus

Ancient Peru was the centre of the Inca Empire, whose power and influence peaked between 1400 and 1533 CE. The empire’s religious and administrative centre, Cusco, is adjacent to the now world-renowned Machu Picchu archaeological site. The arrival of Spanish conquerors in 1532 marked the beginning of the end for the Inca Empire and the start of nearly three centuries of Spanish colonial rule. Following a successful independence war against the Spanish Crown led by José de San Martín – one of…

Interview

Sources of security: President Martín Vizcarra Cornejo, on diversifying investments, and reducing informality and corruption
OBG
plus

Interview :President Martín Vizcarra Cornejo What is the importance of diversified sources of foreign direct investment (FDI)? MARTÍN VIZCARRA CORNEJO: We understand that economic development is related to private investment growth, which is why it is important to diversify FDI sources. According to data from ProInversión, as of June 2017 Peru’s main sources of FDI were Spain with 17%, the UK (17%), the US (13%), Chile (12%) and the Netherlands (6%), while 87% of FDI is concentrated…

Overview

Watershed moment: The government aims to strengthen democratic institutions to attract investment and promote economic growth
OBG
plus

With an average growth rate of 5.9% over the past decade, Peru’s economy has consistently outperformed most regional neighbours. Politically, the country has recently emerged from a period of instability and security concerns to rank among the top investment destinations in the developing world. That said, corruption continues to be a concern, particularly in the wake of several recent scandals which shook the country’s traditional political establishment. Aggravating this problem, a divided…

Viewpoint

Bridging the gap: Sebastián Piñera Echenique, President of Chile, on the region’s pillars of development as it embraces the digital revolution
OBG
plus

Viewpoint :Sebastián Piñera Echenique Latin America has always been a region of opportunities and frustrations. Opportunities exist due to its vast landmass, generous natural resources, limited involvement in the First and Second World Wars, and isolation from racial and religious conflicts that other regions of the world have been exposed to for decades. Despite these advantages, Latin America continues to be an underdeveloped region. This is due to the fact that the industrial revolution…

Viewpoint

Bridging the gap: Sebastián Piñera Echenique, President of Chile, on the region’s pillars of development as it embraces the digital revolution
OBG
plus

Viewpoint :Sebastián Piñera Echenique Latin America has always been a region of opportunities and frustrations. Opportunities exist due to its vast landmass, generous natural resources, limited involvement in the First and Second World Wars, and isolation from racial and religious conflicts that other regions of the world have been exposed to for decades. Despite these advantages, Latin America continues to be an underdeveloped region. This is due to the fact that the industrial revolution…

Interview

Strength in numbers: Juan Manuel Santos, Former President of Colombia; and Former President Pro Tempore, Pacific Alliance, on promoting tourism, trade and foreign direct investment (FDI)
OBG
plus

Interview :Juan Manuel Santos What policies and strategies have been implemented by the Pacific Alliance to enhance FDI? JUAN MANUEL SANTOS: In a short period of time the Pacific Alliance has proven to be a successful integrative process in Latin America, and it has become a regional reference model. In regard to FDI, all member states have advanced in an integrated manner to become more attractive and maintain an important position in international markets. In relative terms the Pacific…

Overview

Global village: Medium-term prospects suggest globalisation is set to continue for the foreseeable future
OBG
plus

Decades of growth in trade and foreign investment have seen the economies of the world become more interconnected and interdependent than ever before. The production of goods and, increasingly, the provision of services has become fractured across borders as corporations create and integrate into regional and global value chains – a process reinforced by international trade and investment regimes. On aggregate, advanced economies have benefitted from these developments, while emerging markets have become the main drivers of growth around the world. However, recent years have seen a new scepticism towards globalisation emerge, alongside more…

Overview

Global village: Medium-term prospects suggest globalisation is set to continue for the foreseeable future
OBG
plus

Decades of growth in trade and foreign investment have seen the economies of the world become more interconnected and interdependent than ever before. The production of goods and, increasingly, the provision of services has become fractured across borders as corporations create and integrate into regional and global value chains – a process reinforced by international trade and investment regimes. On aggregate, advanced economies have benefitted from these developments, while emerging markets have become the main drivers of growth around the world. However, recent years have seen a new scepticism towards globalisation emerge, alongside more…

Viewpoint

Trade is key: Liam Fox, UK Secretary of State for International Trade, on the UK’s role in helping Latin America unlock its full potential
OBG
plus

Viewpoint :Liam Fox Latin America is a dynamic and exciting region. The distance from Mexico in the north to Argentina in the south equates to that between London and Singapore, which means that the region holds many opportunities for countries like the UK. Fast-growing populations and an ever-increasing middle class encourage a market for quality goods and services; however, it also presents challenges for regional governments. These challenges are being met through major infrastructure investments…

Viewpoint

Trade is key: Liam Fox, UK Secretary of State for International Trade, on the UK’s role in helping Latin America unlock its full potential
OBG
plus

Viewpoint :Liam Fox Latin America is a dynamic and exciting region. The distance from Mexico in the north to Argentina in the south equates to that between London and Singapore, which means that the region holds many opportunities for countries like the UK. Fast-growing populations and an ever-increasing middle class encourage a market for quality goods and services; however, it also presents challenges for regional governments. These challenges are being met through major infrastructure investments…