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PERU - Report 28 Feb 2014 by Roberto Abusada and Fritz Du Bois (Peru)

Executive Summary President Ollanta Humala quickly lost the popularity rally he enjoyed in the wake of the favorable Hague ruling on Peru’s maritime border with Chile, after the government mismanaged the PR aspect of a 100% salary hike for top government officials. Humala’s rating tumbled back to the mid-20s, after the government abruptly raised the salaries. Meant as a corrective to a policy of ex-president Alan Garcia, who cut salaries in half, polls showed that 84% of the public disapproved of the increase. New Prime Minister Rene Cornejo, an engineer with an MBA who was minister of hous...

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