Peruvian President Pedro Castillo will begin a five-day working visit to Mexico and the US. Castillo will participate in the
Peruvian President Pedro Castillo will begin a five-day working visit to Mexico and the US.
Castillo will participate in the Summit of Heads of State and Government of the Community of Latin American and Caribbean States (CELAC), the sessions of the Organization of American States (OAS) and the United Nations (UN).
Since Castillo took office, the government has faced a polarized post-election landscape and a fragmented congress. While the administration implements its policy agenda, the continuation of the economic and financial crisis—after the economy fell 11% in 2020—continues to mount in a divided nation.
The US and Mexican tour will serve the purpose of reaffirming Peru’s commitment to multilateralism and ensure international financing from the International Monetary Fund and the World Bank. After Peru signed a UN cooperation agreement and the US granted $321 million in assistance, expect a significant willingness from Peru to invest in areas of public integrity, social development and pandemic mitigation. However, Castillo’s weak mandate—58% of Peruvians believe that Castillo is not qualified to govern—will prevent him from implementing significant changes to the economy. In the medium-term, he will likely need to generate national and international trust to attract foreign investors and improve foreign relations.