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How Long Can Peru’s Economy Remain Resilient?

By Luis Miguel Castilla

The extended political crisis is leading to more poverty, postponed investments and the risk of an even worse downturn.

LIMA — President Dina Boluarte will soon mark six months in office, overcoming an initial period of great social upheaval. Today Peru is in a relative state of calm, but the specter of political instability remains. The government is weak and unpopular—its polling sits at a mere 25% approval rate—and, apart from economic recovery measures, it lacks a coherent and comprehensive policy agenda. Addressing this latter point has become increasingly urgent, as poverty rates have climbed over the past year. The government aims to develop an agenda to enhance its social and political...

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