Andina

Peru Fin Min: Fiscal strengths cement investors' confidence

13:01 | Lima, Oct. 16.

Economy and Finance Minister Maria Antonieta Alva affirmed the State's unbreakable commitment to complying with fiscal rules have helped solidify investors' confidence in Peru's economic foundations.

In this sense, the official recalled that, two decades ago, the Inca country opted for a macro-fiscal framework to achieve macroeconomic stability through fiscal sustainability. 

"We have reaped the results of such move after a few years, and now we have a country with solid macroeconomic foundations, which is the only one in the region with a stable outlook and whose credit rating has been ratified while (economic growth forecasts for) emerging countries have been revised downwards," she expressed. 

Pacific Alliance 

Likewise, Alva underlined that among Pacific Alliance (AP) member countries, the Inca nation did the best job at reducing fiscal deficit and keeping public debt at low levels. 

On the other hand, the minister pointed out that the Multiannual Macroeconomic Framework (MMM) is the most important economic policy document at State level, which sets the parameters for annual budgets. 

Fiscal prudence 

Furthermore, she remarked that Peru's fiscal management has shown a constant and prudent behavior, which has contributed to maintaining economic stability. 

"Relying on a balanced budget ensures you reach the end of the year with resources to pay the bills, and this relief provides a better focus on the most relevant challenges for the country such as improving competitiveness, decreasing informality, increasing financial inclusion, reducing poverty, among others," the official added. 

The remarks were made during her participation at the forum "Peruvian fiscal framework after 20 years of first fiscal rules."

(END) MDV/MDV/DTK/RMB

Published: 10/16/2019