Peru Announces $9Bn Injection To Boost Economy Amid Protests

• Peru's government announced the launch of more than 30 public-private projects worth nearly $9 billion, hoping to revive the economy hit by violent anti-government protests.
• The projects, involving road infrastructure, energy and sanitation, are set to begin between this year and 2024, according to the head of the state's agency for investment promotion Jose Salardi. "The key is to regain confidence," Salardi said, adding the government is simplifying processes, standardizing contracts and coordinating with the private sector.
• Anti-government protests have swept the country since former President Pedro Castillo was ousted on December 7, with clashes between protesters and security forces leaving dozens dead.
• Private investment in Peru fell 0.5% last year, in contrast to the 37.4% growth recorded in 2021, according to economy ministry data. Economic growth stood at 2.7% at the end of 2022, a steep decline from the 13.6% climb recorded the year before.
• The International Monetary Fund (IMF) recommended earlier in February that Peru implements "targeted, temporary" fiscal stimulus, given the slump in economic activity. The country aims to increase private investment by 3% this year, as early economic indicators show a recovery in February.

(Source: Reuters)