Banking

As banks in the US and Europe faced buyouts and nationalisation, Peru’s banking sector held firm in the wake of the financial crisis. With a sound regulatory body, hefty capital reserves and limited exposure to complex financial instruments, no Peruvian banks were forced to close their doors. The country currently has 15 banks and 59 financial institutions, including 34 microfinance institutions, and increasing bank penetration throughout the country is a priority for the sector. Growth in lending rates and deposits have indicated that more people are taking advantage of the country’s banking services and overcoming historical distrust in banking institutions. Further retail operations are likely to remain the focus in the years to come, as the sector continues its expansion. This chapter includes an interview with Julio Velarde, President, Central Reserve Bank of Peru; and a roundtable discussion with Eduardo Torres-Llosa, CEO, BBVA Continental; José Antonio Blanco Cáceres, CEO, Citibank; Luis Felipe Castellanos, CEO, Interbank; and Carlos González-Taboada, CEO, Scotiabank.