About Peru

Peru Population: 27,544,305 (July 2004 est.)
Languages: Spanish (official), Quechua (official), Aymara, and a large number of minor Amazonian languages.
Capital: Lima
Government Type: Constitutional Republic
Independence Day: 28 July 1821 (from Spain)
Legal System: Based on civil law system; has not accepted compulsory ICJ jurisdiction.
Currency: nuevo sol (PEN)

Executive Branch:

Chief of State: President Alejandro TOLEDO Manrique (since 28 July 2001); note - the president is both the chief of state and head of government; additionally two vice presidents are provided for by the constitution, First Vice President (vacant) and Second Vice President David WAISMAN (since 28 July 2001); note - Raul DIEZ Canseco resigned as First Vice President on 30 January 2004

Head of Government: President Alejandro TOLEDO Manrique (since 28 July 2001); note - the president is both the chief of state and head of government; additionally two vice presidents are provided for by the constitution, First Vice President (vacant) and Second Vice President David WAISMAN (since 28 July 2001); note - Raul DIEZ Canseco resigned as First Vice President on 30 January 2004. Note: Prime Minister Carlos FERRERO Costa (since 15 December 2003) does not exercise executive power; this power is in the hands of the president; note - Beatriz MERINO was asked to resign on 12 December 2003 and was replaced by Carlos FERRERO Costa three days later.

American Embassy: Avenida La Encalada, Cuadra 17s/n, Surco, Lima 33
Mailing Address: P. O. Box 1995, Lima 1; American Embassy (Lima), APO AA 34031-5000
Telephone: [51] (1) 434-3000 FAX: [51] (1) 434-3037

Economic Overview: 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 in the mountainous areas, and Peru's coastal waters provide excellent fishing grounds. However, overdependence on minerals and metals subjects the economy to fluctuations in world prices, and a lack of infrastructure deters trade and investment. After several years of inconsistent economic performance, the Peruvian economy was one of the fastest growing in Latin America in 2002 and 2003, growing by 5% and 4%, respectively, with the exchange rate stable and an annual inflation lower than 2%. Foreign direct investment also was strong, thanks to the ongoing Camisea natural gas pipeline project (scheduled to begin operations in 2004) and investments in gold mining. Risk premiums on Peruvian bonds on secondary markets reached historically low levels in late 2003, reflecting investor optimism and the government's fiscal restraint. Despite the strong macroeconomic performance, political intrigue and allegations of corruption continued to swirl in 2003, with the TOLEDO administration growing increasingly unpopular, and local and foreign concern rising that the political turmoil could place the country's hard-won fiscal and financial stability at risk. Moreover, as of late 2003, unemployment had yet to respond to the strong growth in economic activity, owing in part to rigid labor market regulations that act as an impediment to hiring.

International Disputes: Bolivia has reanimated its claim to restore the Atacama corridor ceded to Chile and adjoining Peru in 1884 to secure sovereign maritime assess for Bolivian natural gas.