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Peru is set to cut excessive regulation on the $29 billion fund for infrastructure that is aimed at reviving the economy and inducing public investment, according to Peru’s economy ministry.
The move is dedicated to speed up the construction on 52 “large-scale, public service-oriented projects, whose completion will reduce the infrastructure gap, as well as boost the country’s economic development.”
Included in these projects are Lima Metro’s Line 2 and the Jorge Chavez Airport expansion, as well as port terminals.
An economic slowdown in Peru, as well as worldwide trade tensions, has resulted to a weakness in public investment. Various corruption investigations linked to the Brazilian construction company Odebrecht has also impacted public interest.
Peru’s central bank is set to reduce its 2019 economic growth projection due to these factors, making it the third reduction this year. Current forecast is for gross domestic expansion of 2.7%.
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