Peru is one of the main destinations of foreign direct investment (FDI) in South America. Averaging $8 billion dollars a year for the past ten years, Peru’s FDI reached $7 billion dollars in 2019. The United Kingdom is the main origin of investments to Peru, having a 17.7% share of total FDI as of 2019.

Among other things, the Peruvian government promotes public-private partnerships (PPP) to build infrastructure and spur economic growth, with tax exemptions and low-cost financing available for domestic and foreign investors alike.

Investment climate

Peru has established itself as an attractive destination for foreign investment and a reliable and dynamic source of business partnerships for foreign companies. Peru ranks among the top countries in Latin America and the Caribbean according to the World Bank’s Ease of Doing Business Index. This index measure how conducive the regulatory environment is to starting and operating a local business.

Favorable legal framework for foreign investors:

  • Equal and non-discriminatory treatment
  • Unrestrictive access to the majority of economic sectors
  • Unrestrictive capital transfer
  • Guarantee of private property
  • Freedom to acquire shares in Peruvian corporations
  • Freedom to access to credit
  • Freedom to transfer royalties and profits from their investments

Current Trade agreements

Peru’s international strategy and policy is driven by a liberalization of markets and a proliferation of free trade agreements. Through these measures, Peru is successfully entering the global economy, increasing the competitiveness and productivity of its companies.

Companies based in Peru can now export under preferential conditions, subject to the rules of origin of the trade agreement, to over 55 countries including the three more important economic blocs in the world: USA, China and the European Union (and have signed an agreement with the UK that will come into force the day after Brexit is completed on 31st December, 2020). More information on Free Trade Agreements.

invest-climate
Partner Year
World Trade Organization 1995
APEC 1998
Andean Community 1999
Cuba 2001
Mercosur: Argentina, Brazil, Paraguay, Uruguay and Venezuela 2005
United States 2009
Canada 2009
Singapore 2009
Chile 2009
China 2010
EFTA: Switzerland, Iceland, Liechtenstein and Norway 2011
South Korea 2011
Thailand 2011
Pacific Alliance: Colombia, Chile and Mexico 2011
Japan 2012
Mexico 2012
Panama 2012
European Union 2013
Costa Rica 2013
Venezuela 2013
Honduras 2017
United Kingdom* 2019
* Signed in May 2019, this agreement with the UK ensures continuity to the conditions established in the Trade Agreement between Peru and the European Union. However, it will not come into force until the day after Brexit is completed on 31st December, 2020.

Additional information on investing in Peru:

EY Peru’s Business Investment Guide

PwC Doing Business in Peru

PROINVERSION

In an effort to facilitate investment flows into the country, Peru has established the Private Investment Promotion Agency of Peru (Proinversion). This agency provides various tools to potential investors. Among them the agency provides information on:

  • Basic rights to foreign investors

    Important information on guarantees and protections extended to foreign investors.

  • Establishing a company in Peru

    Provides a step by step guide on how to establish a business in Peru. Covers topics ranging from choosing the type of firm, to legal requirements and registration, etc.

  • Project Portfolio

    Provides information on business opportunities in different sectors of the Peruvian economy. The portfolio includes projects in important and dynamic sectors such as mining, infrastructure, telecommunication, and tourism, among others.

  • Public-Private Partnerships (PPP) in Peru

    List of projects involving both the private and public sector which aim at developing or improving services required by the state, and technological innovation and the advancement of research.