Over the pastyear, business confidence in Peru declined in part due to what many analysts called excessive political fighting between President Ollanta Humala’s government and political opponents.
The decline in business confidence, which was also certainly due to international factors, was one of the reasons that economic growth cooled this year.
“With less political noise there is more stability and concentration on economic growth in Peru,” the head of business group Confiep, Alfonso Garcia Miro, said in comments to state news agency Andina. “We wouldn’t have to dedicate other efforts and resources to resolve problems rather than concentrating on the country’s development agenda.”
Political fighting, which has dominated the headlines throughout the year, took off again this week following a year-end television interview by President Humala.
In the interview, Humala criticized the El Comercio media conglomerate for its acquisition of a local competitor. The acquisition boosts El Comercio’s share in the newspaper market from around 59% to over 78%, and has raised concerns that it would affect freedom of expression by squeezing out other opinions from the market.
Political opponents of Humala, including ex-President Alan Garcia, former President Alberto Fujimori from his prison compound, and ex-presidential candidate Keiko Fujimori accused the president of threatening press freedom.