stated on Thursday that Peru still holds a good macroeconomic position.
"It still has a good macroeconomic position, even despite the fiscal deficit, since, when compared with neighboring countries, we see a rather low deficit," Velarde stated.
"There are countries in the region, our neighbors, that are already facing difficulties financing themselves in the markets; they are paying double our rate," he added.
At the Perumin 37 mining summit, the BCR head reiterated that Peru's debt, relative to its Gross Domestic Product (GDP), is the lowest in South America and Mexico.
"The debt-to-GDP ratio is the lowest in South America and Mexico. Paraguay and Chile used to have debt (levels) like ours, but now theirs are much higher," the BCR governor commented.
"With this, I don’t mean that we are doing well. For fiscal recklessness to begin to be strongly felt in macroeconomic matters, it will probably take some time; the problem is that if it isn’t corrected, it will arrive. It is a problem of continuous erosion," he added.
The BCR governor highlighted Peru's fiscal situation compared to other countries in the region.
"Many of the major Latin American countries would like to have our fiscal situation," he noted.