announced that, by agreement of the Council of Ministers, the monthly salary for the position of
has been raised to S/ 35,568 (approximately US$10,025), in accordance with a resolution issued by the National Civil Service Authority (Servir).
He made the announcement following the Council of Ministers session held at the Government Palace on Wednesday afternoon.
"A supreme decree was approved regulating the economic compensation for the position of President of the Republic, in accordance with a resolution from the Presidency of Servir, which formalized a board agreement," the minister stated.
"What has been done is to comply with Article 23 of the Budget Law passed in November of last year, as well as with the Civil Service Law regarding the salary for the position of President of the Republic," Perez Reyes explained.
"A methodology has been established that compares the salaries in U.S. dollars of the presidents of 12 Latin American countries," he added.
In that regard, Perez Reyes explained that based on this analysis in U.S. dollars adjusted for Purchasing Power Parity —and also taking into account salary caps and the highest incomes within the Executive Branch, mainly those of ministers and vice ministers— a projection was made of the appropriate compensation for a position above that of a minister, which in this case is the President of the Republic.
"Using this as a reference —that is, the weighted average of the salaries of 12 presidents— and the projection based on the hierarchy of positions within the Executive Branch, a comparison was made, and the result is the amount approved today (Wednesday) in a supreme decree: S/35,568 per month," he indicated.
Adjustment for salary lag
Minister Perez Reyes noted that, based on a comparison of the salaries of presidents from 12 Latin American countries, Peru ranked 11th —only ahead of Bolivia.
The government official noted that salaries in the country have been rising in terms of the average market wage, while the salary corresponding to the Presidency of the Republic "has been frozen" for nearly 20 years.
He mentioned that former President Alan Garcia (during his second term from 2006-2011) decided to reduce the salaries of a significant group of public officials, while former President Ollanta Humala (2011-2016) increased the salaries of ministers and deputy ministers.
"What is being done now is correcting the lag that existed in the salary for the position of President of the Republic, which will not only apply to the current President, but also to whoever assumes the office starting in July of next year," he clarified.