LIMA, July 2 (Reuters) – Ratings agency Moody’s expects Peru’s President-elect Keiko Fujimori to bolster investor confidence and preserve policy continuity, helping the Andean nation sustain growth despite political polarization and fiscal challenges.
• Fujimori’s government is likely to maintain policy continuity, safeguard institutional pillars such as an independent central bank and respect contract and property rights, Moody’s said in a report issued on Thursday.
• Continued policy stability would likely unlock delayed mining and infrastructure projects, supporting growth rates near the 3.5% average of 2024-25.
• Political risks are expected to lessen but may still constrain Peru’s stable credit profile, with polarization and a fragmented Congress likely to continue generating political uncertainty.
• Peru’s government debt remains at 30% of GDP, providing meaningful shock-absorption capacity.
• Moody’s said questions remain over how quickly Peru can narrow its fiscal deficit.
• Right-wing Fujimori, elected on her fourth presidential bid, defeated leftist Roberto Sanchez by just over 49,000 votes, or a margin of 0.3 percentage points.
(Reporting by Marco Aquino; Writing by Fabiola Arámburo; Editing by Iñigo Alexander)