PeruAndrew Schwartz

StatsGeographySchoolingEconomyPolitical SystemConsumer spendingLabor lawsPoliticsTradeFuture

Basic InfoPeruvian independence was declared in 1821 and succeeded in 1824

Period of military rule

Peru began democratic leadership in July 12, 1979

Republic of Peru

Capital is Lima

Official Languages Spanish and Quechua

President Ollanta Humala

Geography

Lowland coastal

regions

Andes mountains

Amazon forests

Northern Tropical

Poor infrastructure

Minerals mined in the mountainous and coastal

areas

coastal waters provide excellent fishing grounds

Economy reflects topography

Population Size

30.2 million

43rd

Average age of 27

Growing at 1.3%

annually

1,285,216 sq km

20th

Land = 1,279,996 sq

km

Water = 5,220 sq km

Schooling

Offered to all children

Public & Private

Universities

Literacy (2005) 88.92

Enrollment

Total 6.5 millionPrimary 4.1 MSecondary 2.4 M

Poverty“Peru was able to reduce the national poverty rate by 28 percentage points since 2002.”

Economy

344 Billion

5.6% increase

GDP per capita of

11,100

5.1% (2013 est.) 54th

Gross national saving: 22.2% of GDP (2013 est.)

67th

Unemployment rate: 3.6% (2012 est.)

Decreasing Public debt: 14.9% of GDP (2013 est.)

144th

Inflation rate (consumer prices): 2.9% (2013 est.)

111th

Budget

Budget surplus

$2,680,000 USD

1% of GDP

29th

Budget:

Revenues $60.95 Billion

Expenditures: $58.91

Billion

Labor Force

16.16 billion individuals

38th

25.8% Agriculture Industry

17.4% Industrial Industry

56.8% Service Industry

Labor Laws

Recognition of the right to collective

bargaining

Elimination of all forms of

force/compulsory

Abolition of child labor

Elimination of discrimination

Acceptable conditions of work:

health

minimum wages

hours of work

occupational safety

Business IncentivesReliable legal framework geared towards

maintaining the stability required for boosting private business activity,

investment and growth.

As a result, the country has attracted substantial capital investment which has allowed for sustained economic growth.

Abundance of natural resources

low taxes / Government control

Rated as high investor grade

Foreign investors have equal rights

Economy fairly stable over the last 20

years

Politics

July 28th 2011

President Ollanta Humala

Vice President Marisol Espinoza

The administration supports a policy of social inclusion and a

more equitable distribution of income however inequality

persists

lacking governmental structures

Mountainous terrain

Amazon river marshes

Long distances continues

Lack of infrastructure

Land was not valuable until oil was

found, then it was highly sought after by

big business

Indigenous

War

Lack of trade

Government Corruption

Human rights violations

Drug trafficking

Civil unrest & hostility

Technology

Advances in Modern communication technology

Helped Peru and the US reach a free trade

agreement

Increase funding for science & technology

Road connecting Brazil and Peru

Trade

Peru has signed off on trade deals with the

US, Canada, Singapore, China, Korea, Mexico, Japan, the EU, the European Free Trade Association, Chile, Thailand, Costa Rica, Panama, Venezuela, and Guatemala

“Trade deficit of 573 Million USD in July of 2014”

Began trade talks with Honduras and El Salvador, Turkey and the Trans-Pacific

Partnership.

Signed a trade pact with Chile, Colombia, and Mexico, called the Pacific Alliance, that

rivals Mercosur another South American Treaty

43% of Peru’s GDP in produced from trade with United States, China, Brazil, European

Union, and Chile

Peru continues to attract foreign investment

Political activism and protests continue delaying development progress

“Since Peru signed the US-Peru Trade Promotion Agreement into force in February 2009, total trade between the two nations has doubled.”

ExportsSecond largest producer of silver and

third largest producer of copper

Exports:

$41.48 billion in 2013

60th

$45.64 billion in 2012

Export commoditiesCopper, gold, lead, zinc, tin, iron ore,

molybdenum, & silver

petroleum products, natural gas; coffee, vegetables, fruit,

apparel and textiles, fishmeal, fish,

chemicals

China20%

US16%

Canada10%

Japan7%

Spain5%

Chile5%

Other38%

Peru’s Exports

China US Canada Japan Spain Chile Other

Heavily reliant on the rest of the world import

demands

Central Bank discount rate is 5.05%, banks lend at

20.3%.

This high lending rate keeps new ventures and

capital proceeds from boosting their economy

further.

Imports$42.13 billion in 2013

59th

US 24.6%, China 14%,

Brazil 6.4%, Argentina 5%,

Chile 4.8%, Colombia

4.2%, Ecuador 4.1%,

Mexico 4% (2012)

US25%

China14%

Brazil6%Argentina

5%Chile5%

Colombia4%

Ecador4%

Mexico4%

Other33%

Percentage of trade

US China Brazil Argentina Chile Colombia Ecador Mexico Other

Import commodities

petroleum and petroleum products, chemicals, plastics, machinery, vehicles, color TV sets, power shovels, front-end

loaders, telephones and telecommunication equipment, iron and steel, wheat, corn,

soybean products, paper, cotton, vaccines and medicines

Future

An economic leader within our lifetimes

Multinational corporations have begun to

bring in foreign investment, jobs with

higher living wages, and a backbone to

support their infrastructure

Educate and inform citizens for life in modern civilization

World’s leading nations when it comes to environmental innovation and progress, promoting healthy living, environmentally friendly lifestyle,

and climate change awareness

Civil unrest will continue among anti-mining, deforestation, and development

High export numbers, and strong trading partners Workforce is constantly increasing and the demand

for technology is rising

Increased number of production will further increase production advantage to this region

continuing to drive the economy

Education is passing along the ability to continue driving the economy, further advancing production

and trade

Peruvian economy is heavily reliant on their trade relationships with the rest of the world

Central Bank discount rate is 5.05%, commercial banks lend at a rate of 20.3%

High lending rate keeps new ventures and capital proceeds from boosting their economy further

Macroeconomic performance and combine dependence of exporting minerals, metals, and

imported food products make the economy vulnerable to fluctuations in prices.

With modern advances in communication and technology,

globalization is helping to shape and change the direction of this country’s entire outlook.

Increasing funding for science, technology, and education overall reducing illiteracy to below 7 percent in most areas and bringing the poverty

rate down by about half in the past two decades.

A controversial road connecting Brazil's Atlantic coast with Peru's Pacific seaboard is underway, yet another transformation in diplomatic relationships

that will help the coming generations.

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