Peru, a country of 33.4 million people, is one of Latin America’s fastest-growing economies. It has rich deposits of copper, gold, silver, lead, zinc, natural gas and petroleum. It is also a very diverse country due to climatic, natural and cultural variations of its regions. Peru’s economy reflects its varied geography, an arid coastal region, the Andes further inland, and tropical lands bordering Colombia and Brazil. Abundant mineral resources are found mainly in the mountainous areas, and Peru’s coastal waters provide excellent fishing grounds.
Mining is the dominant sector of the Peruvian economy. It accounts for 8.5% of GDP, while mineral exports represent 63.9% of the country’s total exports. Substantial investment has flowed to the sector over the past 20 years. As a result, there has been an increase in exploration and development activities. Peru is among the major producers of mineral commodities in the world. Copper and gold are the most important mineral exports by value.
In recent years, Peru has achieved significant advances in social and development indicators as well as in macroeconomic performance, with very dynamic GDP growth rates, reduction of external debt, a stable exchange rate and low inflation. Peru’s rapid expansion has helped to reduce the national poverty rate from 58.7% in 2004, to 25.9% of its total population in 2021. Extreme poverty declined from 17.1% to 4.1% over the same period.
The country has had continuous economic and political stability since the early 1990s. In 2021, GDP registered a growth of 13.6%, making Peru one of the economies with the highest growth in the region. The recovery of economic activity continued in 2022, with an expansion of 2.9% supported by higher exports and economic policies that remained expansive. In 2023, Peru’s economy is also expected to grow around 2.9%.