Peru: Boluarte vows for consensus

PERU - In Brief 28 Jul 2023 by Alfredo Thorne

---

Today President Boluarte went to Congress and delivered her annual speech. Being highly unpopular, the speech was an attempt to reach out the opposition and the population at large. Left-wing parties are demanding her resignation, although they do not have the votes in Congress to force an impeachment. Moreover, the right-wing parties gained the position of the Speaker of Congress in the July 26th election. Ms. Boluarte tried to ease the fierce opposition against her by announcing four initiatives. First, she will call a meeting of the Acuerdo Nacional, a group that comprises most of the political forces in the country and could become an instrument to legitimize her government. Second, she is asking forgiveness from the families and relatives, civilian and military, of those who died in the January and March protests. This is not the first time she has done this. Third, she announced major investment projects in an effort to stimulate the economy. Importantly, she announced water and sewage projects in Cuzco and Puño, two states highly critical of her government. And finally, she laid out her government’s strategy to confront the El Niño weather phenomenon that is due to hit the north of Peru by year-end and may keep the economy growing at low rates. These political gestures may help her remain in government until the end of her term, in July 2026. But it is unlikely they will ease the political pressure from the opposition or prop up the economy. Last week we again cut our full-year 2023 growth rate, to 0.8%, and 2.4% for 2024. We maintain our view that Boluarte will complete her term, but political instability will continue, and may even increase as we approach the ...