Our Market

Below provides a profile of the Latin America regional market overall, and interesting facts and information about issues important to both Perú and foreign executives working in Lima.

Peru is showing an excellent economic performance. During 2007, the GDP increased by 9.0%, a rate among the highest in the world, and which ensures that the rapid expansion of the country will be for more than 9 consecutive years. These positive expectations for the coming years are based mainly on the highly favorable prospects for public and private investment and  the increased confidence of foreign and domestic investors. 

During 2007, exports reached a record level of US$ 27,588 million, registering a growth of 16.3% over the previous year, after having grown by over 35% for 3 consecutive years. This reflects the growth in international demand derived from rising international prices and increasing quantities being demanded, from which the local private business sector is able to benefit.

Private investment in the country grew 24% during 2007, after having risen by 20.1% during 2006. It is expected to maintain similar rates in the coming years due to a significant increase in investor and consumer confidence in the country, reinforced by the recent qualification of the Peruvian economy as "investment grade."

In April 2008, the credit risk agency Fitch Ratings granted investment grade to Peru by raising the long-term Peruvian foreign currency debt to "BBB-" from a level of "BB+" (speculative grade). This reclassification joins that previously granted in the third quarter of 2007 by the Canadian agency Dominion Bond Rating Service.

This improvement in the classification of the Peruvian debt responds to its strong economic growth, reduction of the degree of “dollarization,” improved fiscal accounts and reduction of the debt burden, as well as the accumulation of reserves as a result of a marked trade surplus.

Key Sectors
Areas such as construction (16.5% growth), manufacturing (10.6%), commerce (10.5%) and fishing (6.9%) stand out among the results at the close of 2007. The construction sector is showing strong growth, reflecting the increasing activity in building shopping malls, self-construction, the development of the real estate market, carrying out major infrastructure and other projects nationwide. Also contributing was the development of programs with government support, such as Mivivienda and others with a similar financing scheme. The high growth of the Peruvian GDP and, in general, the capacity of the national economy to escape contagion from the various crises affecting other Latin American countries, are variables considered by the international financial market as a point in favor of Peru.

The fishing sector grew by 6.9% as a result of increased shipping of species for indirect consumption in the elaboration of fishmeal and fish oil, as well as for direct human consumption. Fishing for direct consumption recorded an increase of 8.2%, which is explained by the increased catch of species for fresh consumption, especially mullet, bonito, dogfish and cachema weakfish; and for the processing of frozen products, especially Peruvian scallops, squid and mackerel.

The manufacturing sector recorded its highest growth in 13 years (10.6%), which was mainly explained by the growth of non-primary manufacturing, which usually contains a higher value-added component and a greater impact on the generation of employment. This growth was sustained both by a prolonged increase in domestic demand and the consolidation and access to new markets abroad. The most dynamic areas were food and metal-mechanics.

Below provides a profile of the Boyden Lima market over all and interesting facts and information about issues important to both Lima and foreigner executives working in Boyden Lima.

Geographic Profile
Peru is a leading nation or "regional hub" in the South American Pacific area.  It is located in the middle of South America, between parallels 0 2 and 18 21'34'' of S latitude and meridian 68 37'7'' and the 81 20'13'' of longitude. With a total area of 1 285 216 Km or 496 223 miles, it is the third largest country in South America and it is divided into three distinctive geographic regions: the Coast, the highlands (Andes), and the rainforest.

This country has an extensive and mega-diverse territory strategically located in the central zone of South America over one of the largest oceans on the Planet. 

Total Area
1,280,000 square KM

Political Structure
Presidential democracy

Capital
Lima

Population
28.220.764

Largest City
Lima

Official language
Spanish

Currency
Nuevo Sol