Andina

Peru: President Vizcarra's administration relies on positive environment

Martín Vizcarra jura como Presidente de la República. Foto: CONGRESO

Martín Vizcarra jura como Presidente de la República. Foto: CONGRESO

08:00 | Lima, Mar. 27.

There are important and favorable factors for President Martin Vizcarra's administration to reach high growth rates, among which the good international commodities prices and possible consensus stand out.

"Institutionally speaking, there are several winds in favor of Vizcarra's Government," Segura said in a panel discussion hosted by Andina news agency and El Peruano official gazette.

"Citizens are tired of political confrontations, so there is a feeling that such situations will not be repeated. Also, although he [Vizcarra] was a minister, he was [based] in Canada for a long time," he noted meaning Vizcarra did not have close relations with the previous administration.

Added to this is the good international context that will enable the country —for instance— to reach a new historical record of exports in 2018, he projected.

Challenges 

Segura also pointed out these favorable winds come in a difficult context, mainly marked by a high deficit forcing the country to have a "relatively austere Government."

"The new [to-be-appointed] Economy Minister must figure out how to get growth to be based on private investment, instead of public investment since he has to start reducing the deficit this year […]," he underscored.

Infrastructure

Moreover, the former minister noted another important challenge comes from the infrastructure sector. 

In this regard, he stressed the 30 leading construction companies in the Inca country are allegedly linked to the Lava Jato corruption scandal, which "brings sand to the gears of construction."

"The private sector must rejoin this growth. For this reason, President Vizcarra's administration must represent the transition from public to private investment," he concluded.

As is known, President Vizcarra's first cabinet members' names will be revealed next week.

(END) JAA/MVB

Published: 3/27/2018
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