highlighted that Peru has the longest period of low inflation within this region, after
Velarde said the BCR is a meritocratic institution that has managed to preserve its autonomy and fulfill its assigned duty of maintaining price stability, allowing Peru to achieve the longest period of low inflation in this region.
In that regard, he noted that Peru has surpassed Chile not only in the duration of this period, but also in historical terms, stating that such a prolonged span of low inflation had not been recorded in the last 150 years.
Velarde assumed the BCR helm in September 2006 and has been successively reappointed to the post, most recently for the 2021–2026 term.
The BCR chief stressed that price stability is key to economic development, recalling critical periods such as the 1970s and 1980s, as well as the Great Depression, although he underscored that the impact of macroeconomic mismanagement in the country was more severe.
He warned that the 1980s crisis caused a sharp economic setback, with output declines exceeding 10% over several years, along with a significant deterioration in household income, employment, and key sectors such as health and education.
"It took us 36 years to grow again. The minimum wage fell to less than half of what it had been worth 20 years earlier," he indicated, emphasizing that inflation not only affects prices, but also leads to impoverishment and deepens social gaps.
Furthermore, The BCR chief drew attention to the fact that more than half of Peru's population, whose median age is 34, has not lived through the hyperinflation period. Therefore, he stressed the importance of preserving macroeconomic stability to avoid repeating past episodes.
Moreover, Velarde emphasized that the BCR's autonomy is essential to ensure competitiveness and the fulfillment of its objectives.
Lastly, he thanked the President of the Republic, Jose Maria Balcazar, Foreign Affairs Minister Hugo de Zela, and attendees for the distinction.