Ancient Peru was the seat of several prominent Andean civilizations, most notably that of the Incas whose empire was captured by the Spanish conquistadors in 1533. Peruvian independence was declared in 1821, and remaining Spanish forces were defeated in 1824. After a dozen years of military rule, Peru returned to democratic leadership in 1980, but experienced economic problems and the growth of a violent insurgency. President Alberto FUJIMORI's election in 1990 ushered in a decade that saw a dramatic turnaround in the economy and significant progress in curtailing guerrilla activity. Nevertheless, the president's increasing reliance on authoritarian measures and an economic slump in the late 1990s generated mounting dissatisfaction with his regime, which led to his ouster in 2000. A caretaker government oversaw new elections in the spring of 2001, which ushered in Alejandro TOLEDO Manrique as the new head of government - Peru's first democratically elected president of Native American ethnicity. The presidential election of 2006 saw the return of Alan GARCIA Perez who, after a disappointing presidential term from 1985 to 1990, has overseen a robust macroeconomic performance.
volcanism:
Peru experiences volcanic activity in the Andes Mountains; Ubinas (elev. 5,672 m), which last erupted in 2009, is the country's most active volcano; other historically active volcanoes include El Misti, Huaynaputina, Sabancaya, and Yucamane
deforestation (some the result of illegal logging); overgrazing of the slopes of the costa and sierra leading to soil erosion; desertification; air pollution in Lima; pollution of rivers and coastal waters from municipal and mining wastes
shares control of Lago Titicaca, world's highest navigable lake, with Bolivia; a remote slope of Nevado Mismi, a 5,316 m peak, is the ultimate source of the Amazon River
Spanish (official) 84.1%, Quechua (official) 13%, Aymara 1.7%, Ashaninka 0.3%, other native languages (includes a large number of minor Amazonian languages) 0.7%, other 0.2% (2007 Census)
chief of state: President Ollanta HUMALA Tasso (since 28 July 2011); First Vice President Marisol ESPINOZA Cruz (since 28 July 2011); Second Vice President Omar CHEHADE (since 28 July 2011); note - the president is both the chief of state and head of government
head of government:
President Ollanta HUMALA Tasso (since 28 July 2011); First Vice President Marisol ESPINOZA Cruz (since 28 July 2011); Second Vice President Omar CHEHADE (since 28 July 2011)
note:Prime Minister Oscar VALDES Dancuart (since 11 December 2011) does not exercise executive power; this power rests with the president
cabinet:
Council of Ministers appointed by the president
elections:
president elected by popular vote for a five-year term (eligible for nonconsecutive reelection); presidential and congressional elections last held on 10 April 2011 with runoff election held on 6 June 2011 (next to be held in April 2016)
election results:
Ollanta HUMALA Tasso elected president in runoff election; percent of vote - Ollanta HUMALA Tasso 51.5%, Keiko FUJIMORI Higuchi 48.5%
unicameral Congress of the Republic of Peru or Congreso de la Republica del Peru (130 seats; members are elected by popular vote to serve five-year terms)
elections:
last held on 10 April 2011 (next to be held in April 2016)
election results:
percent of vote by party - Gana Peru 25.3%, Fuerza 2011 23%, PP 14.8%, Alliance for Great Change 14.4%, National Solidarity 10.2%, Peruvian Aprista Party 6.4%, other 5.9%; seats by party - Gana Peru 47, Fuerza 2011 37, PP 21, Alliance for Great Change 12, National Solidarity 9, Peruvian Aprista Party 4
Alliance for Great Change (Alianza por el Gran Cambio) (a coalition of the Alliance for Progress, Humanist Party, National Restoration Party, and Popular Christian Party) [Pedro Pablo KUCZYNSKI]; Fuerza 2011 [Keiko FUJIMORI]; Gana Peru (a coalition of Lima Para Todos, Peruvian Communist Party, Peruvian Nationalist Party, and Peruvian Socialist Party) [Ollanta HUMALA Tasso]; National Solidarity (Solidaridad Nacional) or SN (a coalition of Cambio 90, Siempre Unidos, Todos por el Peru, and Union for Peru or UPP) [Luis CASTANEDA Lossio]; Peru Posible or PP (a coalition of Accion Popular and Somos Peru) [Alejandro TOLEDO Manrique]; Peruvian Aprista Party (Partido Aprista Peruano) or PAP [Alan GARCIA Perez] (also referred to by its original name Alianza Popular Revolucionaria Americana or APRA)
General Workers Confederation of Peru (Confederacion General de Trabajadores del Peru) or CGTP [Mario HUAMAN]; Shining Path (Sendero Luminoso) or SL [Abimael GUZMAN Reynoso (imprisoned), Victor QUISPE Palomino (top leader at-large)] (leftist guerrilla group)
three equal, vertical bands of red (hoist side), white, and red with the coat of arms centered in the white band; the coat of arms features a shield bearing a vicuna (representing fauna), a cinchona tree (the source of quinine, signifying flora), and a yellow cornucopia spilling out coins (denoting mineral wealth); red recalls blood shed for independence, white symbolizes peace
Peru's economy reflects its varied geography - an arid coastal region, the Andes further inland, and tropical lands bordering Colombia and Brazil. Abundant mineral resources are found in the mountainous areas, and Peru's coastal waters provide excellent fishing grounds. The Peruvian economy grew by almost 6% per year during the period 2002-06, with a stable exchange rate and low inflation. Growth jumped to nearly 9% per year in 2007 and 10% in 2008, driven by private investment and government spending, but then fell to less than 1% in 2009 in the face of the world recession, a sharp fall of private investment, and a substantial increase in counter-cyclical government spending. Growth resumed in 2010 at above 8%, due partly to a leap in private investment and continued high government spending. Peru's rapid expansion coupled with the government's conditional cash transfers and other programs have helped to reduce the national poverty rate by over 19 percentage points since 2002, though underemployment remains high. Inflation in 2010 was within the Central Bank's 1%-3% target range. Despite Peru's strong macroeconomic performance, dependence on minerals and metals exports and imported foodstuffs subjects the economy to fluctuations in world prices. Poor infrastructure hinders the spread of growth to Peru's non-coastal areas. A growing number of Peruvians are sharing in the benefits of growth but despite President GARCIA's pursuit of sound trade and macroeconomic policies, inequality persists. Nevertheless, he remains committed to Peru's free-trade path. Since 2006, Peru has signed trade deals with the United States, Canada, Singapore, China, Korea, and Japan, concluded negotiations with the European Free Trade Association (EFTA) and Chile, and begun trade talks with Central American countries and others. The US-Peru Trade Promotion Agreement (PTPA) entered into force 1 February 2009, opening the way to greater trade and investment between the two economies. Rising world prices of foodstuffs and fuel, coupled with strong domestic demand, are immediate concerns for 2011. Peru has continued to attract foreign investment. However, political disputes may impede development of some projects related to natural resource extraction.
mining and refining of minerals; steel, metal fabrication; petroleum extraction and refining, natural gas and natural gas liquefaction; fishing and fish processing, cement, textiles, clothing, food processing
copper, gold, zinc, tin, iron ore, molybdenum; crude petroleum and petroleum products, natural gas; coffee, potatoes, asparagus and other vegetables, fruit, apparel and textiles, fishmeal
petroleum and petroleum products, chemicals, plastics, machinery, vehicles, color TV sets, power shovels, front-end loaders, telephones and telecommunication equipment, iron and steel, wheat, corn, soybean products, paper, cotton, vaccines and medicines
general assessment: adequate for most requirements; nationwide microwave radio relay system and a domestic satellite system with 12 earth stations
domestic:
fixed-line teledensity is only about 10 per 100 persons; mobile-cellular teledensity, spurred by competition among multiple providers, has increased to roughly 85 telephones per 100 persons
international:
country code - 51; the South America-1 (SAM-1) and Pan American (PAN-AM) submarine cable systems provide links to parts of Central and South America, the Caribbean, and US; satellite earth stations - 2 Intelsat (Atlantic Ocean) (2009)
10 major television networks of which only one, Television Nacional de Peru, is state-owned; multi-channel cable TV services are available; in excess of 2,000 radio stations including a substantial number of indigenous language stations (2010)
Callao, Iquitos, Matarani, Paita, Pucallpa, Yurimaguas; note - Iquitos, Pucallpa, and Yurimaguas are on the upper reaches of the Amazon and its tributaries
oil terminals:
Conchan oil terminal, La Pampilla oil terminal
Army (Ejercito Peruano), Navy (Marina de Guerra del Peru, MGP (includes naval air, naval infantry, and Coast Guard)), Air Force of Peru (Fuerza Aerea del Peru, FAP) (2011)
Chile and Ecuador rejected Peru's November 2005 unilateral legislation to shift the axis of their joint treaty-defined maritime boundaries along the parallels of latitude to equidistance lines which favor Peru; organized illegal narcotics operations in Colombia have penetrated Peru's shared border; Peru rejects Bolivia's claim to restore maritime access through a sovereign corridor through Chile along the Peruvian border
until 1996 the world's largest coca leaf producer, Peru is now the world's second largest producer of coca leaf, though it lags far behind Colombia; cultivation of coca in Peru was estimated at 40,000 hectares in 2009, a slight decrease over 2008; second largest producer of cocaine, estimated at 225 metric tons of potential pure cocaine in 2009; finished cocaine is shipped out from Pacific ports to the international drug market; increasing amounts of base and finished cocaine, however, are being moved to Brazil, Chile, Argentina, and Bolivia for use in the Southern Cone or transshipment to Europe and Africa; increasing domestic drug consumption (2011)