The World Bank’s Board of Executive Directors has approved a new US$500 million policy reform framework for Peru, marking the second phase of a two-part program aimed at supporting the government’s efforts to strengthen fiscal management, enhance productivity, and create more and better jobs. The initiative also reinforces Peru’s ongoing preparations for OECD accession.
This operation builds on the first program approved in August 2024, which advanced a broad range of fiscal and productivity-enhancing reforms aligned with the country’s reform agenda. The new framework focuses on deeper reforms to reduce fiscal risks, increase tax revenues, improve public investment efficiency, and foster competition and access to finance, providing a stronger foundation for sustainable economic growth.
Issam Abousleiman, World Bank Division Director for Bolivia, Chile, Ecuador, and Peru, emphasized that Peru has substantial potential to accelerate growth by promoting innovation, enhancing productivity across key sectors, attracting investment, expanding digitalization, and generating higher-quality jobs nationwide.
The reforms are also designed to boost the competitiveness of agricultural value chains, particularly benefiting small-scale and female farmers, while supporting deforestation-free agricultural exports, aligning economic growth with environmental sustainability.
