on Tuesday projected that Peru's Gross Domestic Product (GDP) will grow an average of 3.4% per year during the 2022-2025 period, adding that it will be one of the highest expansion rates registered in countries at the regional level.
"Our projections position us as a country that in the next four years will maintain a basic growth of 3.4% of real annual variation in the 2022-2025 period," said
Economy-Finance Minister Pedro Francke.
In this sense, the Cabinet member commented that it is one of the highest growth rates to be recorded in this region.
"The soundness of our fiscal accounts, the financial soundness and the opportunities we have in new economic sectors, as well as the strength of infrastructure and mining pillars, enable us to issue these projections," he explained.
Fiscal accounts
Minister Francke indicated that the fiscal deficit in 2021 was 2.6% of GDP. The economist noted that this indicator was well below that recorded by other Latin American countries and the average of emerging economies.
"This shows that, although we have taken effective measures to boost public investment, we have also had a fairly solid financial policy to avoid any disproportionate increase in our debt or any problem of fiscal unsustainability," he asserted.
The economist emphasized that the lower fiscal deficit in 2021 proves that Peru maintains a fairly responsible policy in fiscal terms.
"This can be observed in the fact that we have S/18.8 billion (about US$4.7 billion) which will be incorporated into the Fiscal Stabilization Fund during this quarter," Francke said.
The economist explained that said fund was spent to face the pandemic.
"Now we have fully recovered it despite being in a third wave of COVID-19 infections and in a process of economic recovery," he expressed.
Private investment
On the other hand,
Minister Francke commented that one of the great challenges facing private investment this year has to do with turning new growth engines on.
"We have issued legislative decrees to grant incentives to the aquaculture and forestry sectors. Those are activities that have plenty of growth potential," Francke emphasized.
Furthermore, the Cabinet member said thematic roundtables have been promoted, among which the one on mining suppliers stood out, so that this sector can become more dynamic.
"We are also following up on and resolving obstacles, in addition to promoting new economic sectors," he underlined.
Moreover, the economist commented that another element to be essential for the economy is the advance of non-traditional exports.
"Last year we broke records, but there is still a significant boost to the agro-exports sector and other non-traditional ones," he added.