The private investment This year it would have a growth of 34.5% compared to 2020, indicated the head of the Ministry of Economy and Finance (MEF), Pedro Francke.
Although this figure compares with the fall of 16.5% that private investment had in 2020; The official clarified that, if compared to 2019, before the arrival of the pandemic, a positive result would also be recorded.
In short, Francke Ballvé stressed that private investment is 12.2% above pre-pandemic levels.
“Private investment this year is growing 34.5%. It is true that in 2020 it fell 16.5%, but it is growing 34%. That is not a rebound, 34% is more than double that of 16% “, said the head of the MEF during the conference on economic results 2021.
Even the figure that would be obtained this year would be higher than the average registered in the last five years, since between 2014 and 2019 private investment contracted by 0.5%.
Likewise, Francke recalled that between August and December the announced amounts of private investment totaled US $ 5 billion.
Among the major works that began construction in the second half of the year is the Yanacocha Sulfuros mining project, which involves an investment of US $ 2,250 million between 2021 and 2022. As well as Line 2 of the Lima Metro, which includes an investment of US $ 5,346 million (see infographic).
The good dynamism of private investment was reflected in formal employment, since the construction sector is 7.4% above 2019.
“Construction has grown employment by 7.4%, it is clearly associated with the increase in private and public investment, with the delivery of housing bonds, which makes the real estate sector move, ”the minister noted.
On the other hand, the MEF He reiterated that public investment will set a record this year and would exceed S / 36,000 million.
“Public investment is going to grow 22%, also much higher than the fall of 2020. It is much more than a rebound ”, he pointed out.
Regarding what 2022 holds, Francke expects private investment to have a positive evolution, despite the fact that it will be compared with a higher base, such as that recorded in 2021.
In this regard, he said that the current government is providing legal certainty, ensuring private property and having constant dialogue with the business sector through executive boards.
Tax stability contracts
Before the announcement of the extension of the collection of a 2% surcharge for all large companies that request a tax stability agreement, Minister Francke clarified that this measure will not scare away investments in our country.
“There is no international evidence that indicates that for not charging that surcharge, more investments will come. The attraction of investments will continue to exist ”, he said.
Currently the payment of this surcharge is only applied to mining companies, therefore, the MEF is working on a regulation to extend its scope to the entire industry.
It is important to emphasize that the tax stability agreements are at the request of the company and it is for companies to maintain the same tax rates in the future.
Activity closure is ruled out
Given the confirmation of 47 cases of omicron variant in Peru, the head of the MEF stated that the Council of Ministers has not raised the possibility of closing some economic activities as a preventive measure.
“What we have discussed and approved yesterday [miércoles] it means not closing economic activities and taking more precautionary measures such as reduced capacity, restrictions on parties because we have to put the health and lives of Peruvians first, ”Francke clarified.
The word
Pedro Francke, Minister of Economy
“Private investment this year is growing 34.5%. It is true that in 2020 it fell 16.5%, but it fell 16% and is growing 34%. That is not a rebound, 34% is more than double that of 16% ”.
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