ECONOMY - PERU

Incas, a bloody guerilla, a ex-president of the republic of Japanese origin. They are some of the images which come immediately to mind for Peru. Often misleading images. Calms returned in the country. Peace with Ecuador was definitively concluded with autumn 98, which should make it possible the community at the Andine community (gathering Venezuela, Colombia,Ecuador, Peru and Bolivia) to manage to found a Common Market, envisaged for 2005.
D' different leaves, an agreement of association is being negotiated between the countries of the Andine community and those of the Européenne. union. Lastly, the spéctaculaire Peruvian archaeological inheritance again attracts the tourists (+16% in January 1999) and the investors as the Accor group which must build Novotel with Cuzco.

From the economic point of view, the country is restored after one year 1998 particularly dark.Péruviennes exports decreased by 16,5% the year derniere. The climatic phenomenon El Nino cause a drop in by 58% the incomes of fishing, releguant in 1998 this resource in the third place (11%) of exports Peruviennes, derriere gold and copper.
The crises Asian (24% of the echanges) and Bresiliennes (4% of the echanges) also weighed on the echanges exterieurs.
Prear elsewhere, Si the system of exchange floating of the ground doped the competitivity of the Péruviens products and dissuaded any massive escape from capital, it worsened the debt exterieure of the country like that of the private sector, made out primarily in dollars.
Nevertheless, the authorities of Lima record several positive points. The macroeconomic indicators all are favorable: the reserves of exchange are comfortable (13 month of imports), rather wise inflation (+6,1% in 1998 and 6% waited in 1999), the GDP in light increase (+3% according to the IMF in 1998).
International austerity and appropriations banquaires
The results of first six-month period 1999 are in clear improvement concerning fishing, agriculture and the mines (with, in 2002, the prospect for the opening of Antamina, the largest mine of copper and zinc of the world). The Péruvien government hopes to withdraw a substantial profit of the privatizations programmed in 1999 (800 million dollars). Lastly, the authorities intend to continue a policy based on the austerity. They even signed one third agreement with the IMF which covers the period 1999-2002. In exchange of the maintenance of rigour (severe control of the public expenditure, careful monetary policy, flexible rate of exchange of the ground, structural reforms, etc), Peru will see itself granting credit by the World Bank (500 million dollars), the bank interamericaine of development (500 million dollars) and Eximbank Japonnaise. The capital will make it possible to restructure the debt of the companies, to start again the economy, to fight against poverty and to reassure the foreign investors. Three countries monopolize two thirds of the investments: Spain (32,6%), the United States (20,6%) and the United Kingdom (13,8%). The British weight is due to the use of the tax havens of the English Antilles by the multinational corporations, including Frenchwomen. For their part, the French investments are more than modest (1% of the foreign investments).