Peru

Like many Latin American countries, Peru is prioritising industrial development, moving away from primary product dependency and working to establish a healthy balance between manufacturing and commodity exports. One of the most important economic activities in Peru, the manufacturing sector contributed 15.98% to GDP in 2012, displaying year-on-year growth of 1.32%, and continued to expand at a...

The construction sector grew 14.8% in 2012, far more than the 3% recorded in 2011, and continued to expand at a rate of 13.23% in the first half of 2013. Investor confidence remains strong, with investment in current projects rising by 5.79%, most notably in the areas of housing and infrastructure, and public-private partnerships remain the favoured model for developing public works. Likewise, in...

The mining sector has seen its revenues increase significantly as Peru continues to ride the wave of a commodities “super-cycle”, bringing foreign reserves to an all-time high and sparking large-scale transportation and energy projects as production increases. As of June 2013, the Ministry of Energy and Mines reported an investment portfolio of $57.4bn. With the rich, polymetallic Andes as a...

Although its resource wealth should help to ensure Peru’s long-term energy security, in the short term surging demand continues to put pressure on the sector. A recent influx of investment in hydroelectric power stations and natural gas-fired thermoelectric facilities should be enough to stave off any bottleneck in electricity generation and avert potential power shortages in 2016 and 2017....

While the insurance sector has seen sustained growth in premiums over the past several years, rising 10.12% in 2011 and 9.62% in 2012, penetration rates remain among the lowest in the region, with insurance premiums constituting 1.5% of GDP, compared to the regional average of 3%. The government is attempting to address this shortfall through a series of reforms aimed at reducing the cost of...

While the Lima Stock Exchange (BVL) may have fallen short of expectations in terms of new issuances in 2012, its overall performance was solid, with the General Index up 5.9% over the previous year. Though market capitalisation and negotiated volumes dropped from 2012 to 2013, most analysts are positive in their outlooks for the near future. Private equity is expected to continue to grow in the...