, driven by solid economic growth, as well as the dynamism of public and private investment, factors that helped boost job creation and expand opportunities for more Peruvians to gain access to better living conditions.
The government agency noted that gross domestic product (GDP) grew 3.4% in 2025, one of the highest rates in Latin America, driven by the dynamism of domestic demand, particularly investment.
It underscored that this performance made it possible to generate 17.6 million jobs during the year and raise the nationwide average income to S/1,887 (about US$541).
In this context, economic growth is consolidating as a key factor in improving the population's well-being and advancing toward sustained poverty reduction.
More investment
Likewise, public investment reached S/60.422 billion (about US$17.308 billion) in 2025, marking a historic record and generating more than 1.4 million direct jobs through public works execution.
This was accompanied by private investment performance, which grew 10%, the highest rate since 2021.
"When public and private investment advance steadily, employment opportunities expand, the economy gains momentum, and better conditions are created to reduce poverty sustainably," Economy and Finance Minister Rodolfo Acuña stated.
"From the Ministry of Economy and Finance, we are working to make that virtuous circle possible, promoting management that turns growth into concrete results for the population," he added.
This improvement meant that more than 567,000 people moved out of poverty during that year. Meanwhile, the number of people living in poverty declined from 9 million in 2024 to 8.8 million in 2025, marking the country's second consecutive year of reduction in this indicator.
Extreme poverty
Furthermore, extreme monetary poverty decreased from 5.5% in 2024 to 4.7% in 2025, equivalent to 258,000 people overcoming this condition.
In this way, the country also recorded two consecutive years of declining extreme poverty, following the increase observed between 2020 and 2023, reflecting progress in improving conditions for the most vulnerable population.
"Continuing to reduce poverty requires sustaining economic growth, boosting investment, and safeguarding macroeconomic stability," the MEF head pointed out.
The Ministry of Economy and Finance (MEF) indicated that the government will continue fostering policies aimed at preserving macroeconomic stability, promoting investment, and ensuring the continuity of strategic projects that contribute to the country's development.