What are some current issues facing Peru? What is the climate for doing business in Peru today?

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One of the current issues facing Peru is corruption. Many governors in the country have been indicted for corruption. For instance, approximately 21 out of the 25 regional governors in the country have corruption cases. Moreover, former Peruvian presidents are being investigated for corruption. As it stands, Peru does not...

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One of the current issues facing Peru is corruption. Many governors in the country have been indicted for corruption. For instance, approximately 21 out of the 25 regional governors in the country have corruption cases. Moreover, former Peruvian presidents are being investigated for corruption. As it stands, Peru does not have sustained economic growth because of weak political institutions as a result of a very fragmented government.

In 2018, Peru enacted two reforms that improved the ease of doing business in the country. According to the World Bank, it is easier to get a municipal license and takes a shorter period to start a business in Peru compared to other countries in Latin America. In addition, many people in the country have increased access to credit.

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Peru is a developing country in western South America with a population of about 32 million. With a diverse geography that features many natural resources, as well as a culturally and ethnically diverse population, Peru offers many distinct economic opportunities for businesses both locally and internationally. However, despite considerable economic growth over the past decade and a dramatic increase in tourism and foreign investment, Peru still faces many challenges that accompany any developing nation. Specifically, the nation faces problems with governmental corruption and leaders have been criticized for stifling economic growth through over-regulation of entrepreneurship, small business development, and trade. Human rights issues also continue to plague the nation's workforce, as many skilled and unskilled workers alike face low wages and benefits while continuing to work long hours. Nevertheless, political and economic progress continues to be evident and Peru represents one of the most favorable climates for doing business in Latin America due to its representative democratic government and emphasis on human development. Peru has demonstrated an annual economic growth of approximately 6% and industrial growth of nearly 10%, making it one of the most prosperous and promising emerging economics in Latin America and throughout the world. Therefore, despite some human rights and political challenges, the opportunities and climate for doing business in Peru continue to be very encouraging.

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