## Peru: 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Peru

_IMF Staff Country Reports, July 25, 2018_

## Source details

**Canonical URL:** [Peru: 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Peru](https://www.imf.org/en/publications/cr/issues/2018/07/25/peru-2018-article-iv-consultation-press-release-staff-report-and-statement-by-the-executive-46099)

## Other formats

- [Markdown version](/en/publications/cr/issues/2018/07/25/peru-2018-article-iv-consultation-press-release-staff-report-and-statement-by-the-executive-46099/index.md)
- [Structured JSON version](/en/publications/cr/issues/2018/07/25/peru-2018-article-iv-consultation-press-release-staff-report-and-statement-by-the-executive-46099/index.json)
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## Bibliographic details
- Published: July 25, 2018
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781484369203.002

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### Summary
- Peru has been one of the top performers in Latin America since the turn of the century: robust growth has helped close the income gap with the largest regional economies and reduce poverty significantly.
- Last year, however, growth was subpar and the poverty ratio increased.
- While high commodity prices are an important tailwind, the economy is facing domestic headwinds.
- The Odebrecht case led to the resignation of President Kuczynski, and the new cabinet has moved quickly to implement various measures and request special legislative powers from Congress.
- The authorities have also been facing the challenge of rebuilding infrastructure following the extreme weather caused by El Niño in 2017.

### Key findings and contextual factors
- Robust multi-decade growth has materially reduced poverty and narrowed income gaps with larger regional economies.
- Recent performance: growth described as "subpar" in the most recent year covered; poverty ratio increased in that period.
- External environment: high commodity prices provide an important tailwind.
- Domestic challenges:
  - Political disruption from the Odebrecht case, including the resignation of President Kuczynski.
  - A new cabinet pursuing rapid policy measures and requesting special legislative powers from Congress.
  - Significant infrastructure rebuilding needs following El Niño (2017).

### Subject classifications and keywords
- Subject: Currencies, Expenditure, External debt, Financial institutions, Loans, Money, Public debt, Public investment and public-private partnerships (PPP)
- Keywords: accommodative monetary policy stance, central bank, CR, Currencies, Global, headline inflation, IMF World Economic Outlook, income tax tax revenue, ISCR, liability positions vis-à-vis nonresident, Loans, potential GDP, Public investment and public-private partnerships (PPP), rate, staff appraisal

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## Content in this bundle

- **Country Report**
  - [Country Report (Markdown version)](/-/media/files/publications/cr/2018/cr18225-perubundle.pdf.md){rel="alternate" type="text/markdown"}
  - [Country Report (PDF)](/-/media/files/publications/cr/2018/cr18225-perubundle.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2018/07/25/peru-2018-article-iv-consultation-press-release-staff-report-and-statement-by-the-executive-46099_